Burgh Investments, Inc. v. Burk

District Court, E.D. Louisiana·Decided July 21, 2025·No. 2:24-cv-02339·Unknown

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF LOUISIANA

BURGH INVESTMENTS, INC. CIVIL ACTION

VERSUS No. 24-2339

WILLIAM RICHARD BURK, III SECTION I ORDER AND REASONS Before the Court is defendant William Richard Burk, III’s (“Biff”) motion1 for temporary stay of execution of judgment. Plaintiff Burgh Investments, Inc. (“Burgh”) opposes the motion. For the reasons that follow, the Court denies Biff’s motion. I. BACKGROUND

The Court rendered a final judgment in favor of Burgh on June 2, 2025 in the amount of $935,752.05, with additional interest and the costs of proceedings, including reasonable attorney’s fees.2 On June 27, 2025, Biff filed a motion3 to alter, amend, and/or correct judgment pursuant to Federal Rule of Civil Procedure 59(e). Biff asks the Court to amend the allocation of liability such that he and third-party defendant Jacquelyn Burk (“Jackie”) each owe half of the total amount to Burgh, rather than Biff being liable for the full amount and needing to “seek reimbursement from Jackie for her half.”4

1 R. Doc. No. 89. 2 R. Doc. No. 80. 3 R. Doc. No. 82. 4 R. Doc. No. 82-1, at 3. Burgh filed a response5 in opposition on July 16, 2025. The motion will be submitted on July 23, 2025.6 The Court has not yet decided the motion. On July 3, 2025, before it filed its response in opposition to the Rule 59(e)

motion, Burgh filed a motion7 for examination of judgment debtor and an ex parte motion8 for writ of execution, continuing writ of garnishment, and charging order. Burgh also filed another ex parte motion9 for writ of execution and writ of garnishment on July 7, 2025. The Honorable Magistrate Judge Donna Phillips Currault granted Burgh’s motion for judgment debtor exam10 and ordered Biff to appear on July 23, 2025, at 11:00 am.

On the same day that Magistrate Judge Currault granted the motion for judgment debtor exam, Biff filed a motion11 for temporary stay of execution of judgment pursuant to Federal Rule of Civil Procedure 62(f) as well as a motion12 for expedited consideration of that motion. Biff argues that, pursuant to Rule 62(f), he is entitled to a temporary stay because his Rule 59(e) motion is still pending before this Court. The Court granted the motion for expedited consideration and ordered Burgh to respond by July 14, 2025.13 Burgh timely responded,14 arguing that neither Rule

5 R. Doc. No. 94. 6 See R. Doc. No. 82-2. 7 R. Doc. No. 85. 8 R. Doc. No. 86. 9 R. Doc. No. 87. 10 R. Doc. No. 88. 11 R. Doc. No. 89. 12 R. Doc. No. 90. 13 See R. Doc. No. 91. 14 R. Doc. No. 93. 62(f) nor the unresolved Rule 59(e) motion entitles Biff to a stay under the Federal Rules of Civil Procedure. II. LEGAL STANDARD

Federal Rule of Civil Procedure 62 governs the stay of proceedings to enforce a judgment. Pursuant to Rule 62(a), a party receives an automatic stay on the execution of a judgment and any proceedings to enforce it for 30 days after judgment has been entered, “unless the court orders otherwise.” Fed. R. Civ. P. 62(a). “The decision of a court to stay the execution of judgment will generally be overturned only if the court has abused its discretion.” S. Pac. Transp. Co. v. San Antonio, Tex. By & Through

City Pub. Serv. Bd., 748 F.2d 266, 270 (5th Cir. 1984) (citing Geddes v. United Financial Group, 559 F.2d 557, 561 (9th Cir. 1977)). “At any time after judgment is entered,” a party may obtain a stay under Rule 62(b) by providing a bond or other security. See Fed. R. Civ. P 62(b). Local Rule 62.2 requires that a supersedeas bond “be in the amount of the judgement plus 20% of that amount to cover interest, costs, and any damages award, unless the court directs otherwise.” The Court may set a different amount of security than that required by

the Local Rules if a moving party demonstrates certain factors. See Faciane v. Petrochem Field Servs., Inc., No. 18-899, 2019 WL 2995871, at * 2 (E.D. La. July 9, 2019) (Feldman, J.) (citing Poplar Grove Planting & Ref. Co. v. Bache Halsey Stuart, Inc., 600 F.2d 1189, 1191 (5th Cir. 1979)). A stay pursuant to Rule 62(b) takes effect when the court approves the security or bond and remains in effect for the time specified. See Fed. R. Civ. P. 62(b). Rule 62(f) provides another ground for a stay: “If a judgment is a lien on the judgment debtor’s property under the law of the state where the court is located, the judgment debtor is entitled to the same stay of execution the state court would give.”

Fed. R. Civ. P. 62(f). The purpose of Rule 62(f) is to “allow appealing judgment debtors to receive in the federal forum what they would otherwise receive in their state forum.” Castillo v. Montelepre, Inc., 999 F.2d 931, 942 (5th Cir. 1993). III. ANALYSIS

a. Rule 62(f)

Because Biff primarily requests a stay pursuant to Rule 62(f),15 the Court will address these arguments first. Rule 62(f) has two steps. See Parkcrest Builders, LLC v. Hous. Auth. of New Orleans, No. 15-1533, 2018 WL 3743812, at *3 (E.D. La. Aug. 7, 2018) (Barbier, J.) (citing Wykle v. City of New Orleans, No. 96-1369, 1997 WL 266615, at *1 (E.D. La. May 20, 1997)). First, the judgment must function as a lien on the judgment debtor’s property in Louisiana. See id.; see also Fed. R. Civ. P. 62(f). The parties do not disagree as to whether the judgment results in a lien on Biff’s

15 Burgh argues that the stay pursuant to Rule 62(f) requires that Biff file a motion before he is entitled to a stay, even if a stay would be automatic in state court. See R. Doc. No. 93, at 3. It is clear to the Court that Biff intends the present motion to be his Rule 62(f) motion. See R. Doc. No. 89-1, at 3 (“Here, because Biff filed a Rule 59 post- trial motion, he seeks an order from this Court pursuant to Rule 62(f) staying execution and enforcement of the Court’s June 2, 2025 Judgment without posting a bond or other security until 30 days after the Court’s ruling on the post-trial motion.”) (internal citations omitted). Burgh cites no authority that Biff’s motion is untimely. Accordingly, the Court will determine if Biff is entitled to the stay he moves for. property.16 Since the first step was not contested, and is not determinative of the Court’s holding, the Court will only address the second step. The second step is to determine whether Louisiana law entitles the judgment

debtor to a stay of execution. See Parkcrest, 2018 WL 3743812, at *3; see also Fed. R. Civ. P. 62(f).

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