Bell, Jr. v. Dyck-O'Neal, Inc.

CourtUnited States Bankruptcy Court, D. Maryland
DecidedFebruary 23, 2023
Docket20-00129
StatusUnknown

This text of Bell, Jr. v. Dyck-O'Neal, Inc. (Bell, Jr. v. Dyck-O'Neal, Inc.) is published on Counsel Stack Legal Research, covering United States Bankruptcy Court, D. Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bell, Jr. v. Dyck-O'Neal, Inc., (Md. 2023).

Opinion

IN THE UNITED STATES DISTRICT COURT □ FOR THE DISTRICT OF MARYLAND

MIRANDA CISNEROS BELL, ef al., Appellants Civil No. JKB-22-849

. v. ,

DYCK O’NEAL, INC., Appellee. .

MEMORANDUM Miranda Cisneros Bell and Edwin Eugene Bell, Jr. (collectively, “the Bells”) appeal certain orders entered by the United States Bankruptcy Court for the District of Maryland (“Bankruptcy Court”). Specifically, the Bells appeal the Bankruptcy. Court’s order dismissing their complaint in an adversary proceeding and the Bankruptcy Court’s order declining to reconsider its dismissal of the Bells’ complaint. (ECF Nos. 36-1, 36-2 in Adversary Case No. NVA-20-129). For

. following reasons, the Court will affirm the Bankruptcy Court’s decisions and dismiss the. Bells’ appeal. . Background This winding and prolonged dispute began nearly a decade ago. On December 18, 2014, | the Circuit Court for Carroll County, Maryland entered a judgment in the amount of $51,670.51

against the Bells and in favor of Dyck O’Neal, Inc. (“DONT”). (See Claim No. 1, ECF No.

_ Claims Register of Bankr. Case No. 19-16679.)' The Bells appealed the entry of judgment, but

' The principal balance on the judgment totaled $51,670.51. That amount, however, does not include interest, attorney’s fees, or costs awarded to DONI in addition to the principal amount.

they did not post a supersedeas bond, which would have stayed the enforcement of the judgment pending appeal. See Bell v. Dyck-O ‘Neal, Inc., No. 1165 Sept. Term 2015, 2016 WL 2944107, at (Md. Ct. Spec. App. May 17, 2016). The Bells nevertheless filed several motions requesting a stay of enforcement of the judgment. fd. The Circuit Court for Carroll County denied each motion. “In denying the last of the motions, the court ‘barred’ the Bells “from filing ... any further motions seeking a stay of the enforcement of the judgment and waiver of the bond[.]’” Jd. (alterations in original). . When DONI sought to enforce its judgment, the Circuit Court issued a writ of execution for real property. ‘Jd. at *1-2. The Bells moved to quash the wt, which the Circuit Court denied.

Id. at *2. The Bells then moved to alter or amend that order, which the, Circuit Court denied as well. Id. The Bells appealed the order to the Appellate Court of Maryland,” which affirmed the Circuit Court’s decision. Jd. at *6. The Bells then petitioned the Supreme Court of Maryland for a writ of certiorari, which. was denied. See Bell v. Dyck O'Neal, Inc., 146 A.3d 466 (Md. 2016). The Bells even petitioned the Supreme Court of the United States for a writ of certiorari, which was denied not once, see Bell y. Dyck-O’Neal, Inc., 137 8. Ct. 2134 (2017), but twice, Bell v. Dyck- O'Neal, Inc., 138 §. Ct. 30 (2017). On May 16, 2019, the Bells filed a voluntary petition for bankruptcy under Chapter 13 of the Bankruptcy Code. (See Bankr, Case No. 19-1679, On huly 3, 2019, DONI filed a proof of claim in the amount of its final judgment against the Bells.? The Bells subsequently objected to

- DONI’s claim. In overruling the Bells’ objection, the Bankruptcy Court explained that: .

2 The Court of Appeals of Maryland is now the Supreme Court of Maryland and the Court of Special Appeals is now the Appellate Court of Maryland. 3 The principal balance from the judgment totaled $51,670.51. The Circuit Court for Carroll County awarded DONI interest, attorney’s fees, and costs, which totaled $90,275.59 as of May 16, 2019, the day the Bells filed their petition for bankruptcy. (See Claim No. 1 at 4, ECF No. 1-1 in Claims Register of Bankr. Case No. 19-16679.)

The crux of the [Bells’] Objection is that, notwithstanding the Judgment, the Debtors did not actually owe the principal amount of $51,670.51 because the principal amount had either been forgiven or paid in full on or about August 4, 2009 under the “National Mortgage Settlement.”* Having lost in state court and at every available appellate court, the [Bells] now turn to this Court, effectively seeking to relitigate the very issues already decided by the State Court. The Objection asks this Court to review and reconsider a state court judgment, something that under the Rooker—Feldman doctrine this Court has no power to do. (See Order Overruling Debtor’s Obj., ECF No. 52 at 2 in Bankr, Case No. 19-16679.) The Bells moved the Bankruptcy Court to reconsider its decision, which the Bankruptcy Court denied on February 19, 2020. (See ECF Nos. 60, 61 in Bankr. Case No. 19-16679.) □ On March 2, 2020, the Bells filed a notice of appeal seeking interlocutory review of the Bankruptcy Court’s order denying the Beils’ motion for reconsideration. (Notice of Appeal, ECF No. 1 in Case No. 20-cv-00595-CCB.) The Bells filed their opening brief more than four months after they docketed their notice of appeal. (Mot. for Certification, ECF No. 5 in Case No. 20-cv- 00595-CCB.) This Court denied the Bells’ request to certify an interlocutory appeal, affirmed the Bankruptcy Court’s decision, and dismissed the Bells’ appeal. (Order, ECF No. 6 in Case No. 20- cv-00595-CCB.)

Nevertheless, the Bells persisted. The Bells moved this Court to reconsider its decision, which the Court denied. (Order, ECF No. 11 in Case No. 20-cv-00595-CCB .) The Bells then filed notices of appeal to the Fourth Circuit. (Notices of Appeal, ECF Nos. 11, 12 in Case No, 20-cv- 00595-CCB.) In an unpublished per curiam opinion issued November 28, 2022, the Fourth Circuit affirmed this Court’s decision on all grounds. (Op., ECF No. 29 in Fourth Circuit Case No. 22- 1525.) The Bells then petitioned the Fourth Circuit to rehear the case en banc. (Pet. for Reh’g, ECF No. 31 in Fourth Circuit Case No. 22-1525.) When the Fourth Circuit denied the Bells’

The “National Mortgage Settlement” apparently refers to a settlement agreement between the United States and five - of the largest mortgage servicers which resolved claims of various mortgage abuses by the servicers. os

petition (Order Den. Pet. for Reh’g, BCF No. 33 in Fourth Circuit Case No, 22-1525), the Bells sought to petition the United States Supreme Court for a writ of certiorari. (Notice, ECF No. 34 in Fourth Circuit Case No. 22-1525).° In the meantime, the Fourth Circuit’s mandate took effect on January 26, 2023. (Mandate, ECF No. 36 in Fourth Circuit Case No. 22-1 525). Before the appellate process-concluded, however, the Bells filed an adversary proceeding in the Bankruptcy Court “to achieve the same result by alternate means.” (Mem. Order Dismissing Compl., ECF No. 2-12 at 3; see also ECF No. 36-1 at 3 in Bankr. Adversary Proceeding Case No. 20-00129.) Specifically, the Bells filed a complaint against DONI seeking to void the “transfer” that occurred when DONI “bid in” its claim at a foreclosure sale of the Bells’ property. (Mem. □ Order Dismissing Compl. at 3.)° The Bankruptcy Court dismissed the complaint because the □

Bells’ claims relied on provisions in the Bankruptey Code giving trustees—not debtors—the power to obtain the relief requested. (/d. at 4-7.)

True to form, the Bells moved the Bankruptcy Court to reconsider its order dismissing the case. (Pls.’ Mot. to Recons., ECF No. 2-13.) The Bankruptcy Court denied the Bells’ motion for reconsideration (Mem, Order Den. Mot. for Recons., ECF No, 2-19), and the Bells appealed both decisions to this Court on April 8, 2022. (Notice of Appeal, ECF No. 1.) On April 26, 2022, the

‘Clerk’s Office docketed the relevant record from the Bankruptcy Court, (Transmission of Bankr. R., ECF No. 2.) But the Bells never filed an opening brief. Under Rule 8018, a bankruptcy appellant “must serve and file a brief within 30 days after the docketing of notice that the record has been

> The Bells’ attempt to seek the U.S. Supreme Court’s review was derailed by a procedural error.

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