Burgh Investments, Inc. v. Burk

District Court, E.D. Louisiana·Decided July 23, 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 to alter, amend, and/or correct judgment pursuant to Federal Rule of Civil Procedure 59(e). Plaintiff Burgh Investments, Inc. (“Burgh”) opposes the motion, arguing that the amendment Biff seeks is contrary to established law.2 Biff filed a reply.3 For the reasons that follow, the Court denies Biff’s motion. I. BACKGROUND

On June 2, 2025, the Court granted Burgh’s motion for summary judgment against Biff in the amount of $935,752.05, with additional interest and the costs of the proceedings, including reasonable attorney’s fees.4 This amount represented the outstanding account balance with respect to a Home Equity Line of Credit (“HELOC”) agreement that Biff executed and then failed to make payments on.5 The Court also granted Biff’s motion for partial summary judgment against third-party defendant Jacquelyn Burk (“Jackie”), ordering Jackie to “contribute one half of the total amount

1 R. Doc. No. 82. 2 R. Doc. No. 94. 3 R. Doc. No. 95. 4 R. Doc. No. 80. 5 See R. Doc. No. 79, at 2. that Biff Burk owes to Burgh,”6 in line with the community property settlement agreement and consent judgment that were in place when they divorced in 2016.7 On June 27, 2025, Biff filed his motion8 to alter, amend, and/or correct

judgment pursuant to Rule 59(e). He asks the Court to amend the allocation of liability such that he and (“Jackie”) each owe half of the total amount directly to Burgh, rather than Biff being liable for the full amount and needing to “seek reimbursement from Jackie for her half.”9 This change, argues Biff, merely clarifies the judgment and better reflects the Court’s “determination that Jackie is liable for one half of the amount owed to Burgh.”10 Biff predicts that this amendment is

necessary to avoid “manifest injustice by prolonging this litigation insofar as he would be compelled to separately enforce the [j]udgment against Jackie.”11 Burgh filed a response12 in opposition on July 16, 2025, disputing Biff’s characterization of his requested amendment as non-substantive. In fact, it argues, Biff’s amendment would substantively “chang[e] Biff’s liability to Burgh.”13 Burgh maintains that its choice to seek judgment for the entire $935,752.05 against Biff alone was intentional and aligned with its rights pursuant to the HELOC agreement

6 Id. 7 See id. at 15–20. 8 R. Doc. No. 82. 9 R. Doc. No. 82-1, at 1, 3. 10 Id.; see also id. at 5 (“The Court’s judgment in this matter does not state that the defendants are cast in judgment solidarily to pay the sum due on the Note.”). 11 Id. at 5. 12 R. Doc. No. 94. 13 Id. at 5. and Louisiana law because Biff and Jackie are solidary obligors.14 Moreover, Burgh submits that Biff’s motion is untimely because he “could have, and should have,” raised this argument prior to judgment.15 Ultimately, Burgh believes that Biff has

not shown that the Court made any errors of law or fact warranting the “extraordinary remedy” contemplated by Rule 59(e).16 Biff replied17 on July 21, 2025. He asserts that the relief he now seeks is exactly what he sought in his partial motion for summary judgment against Jackie.18 And while Biff agrees that he and Jackie were solidary obligors under the HELOC agreement, he argues that the later-entered community property settlement

agreement makes clear that “they each agreed to assume legal responsibility for one half of the debt at issue.”19 Because he and Jackie have “contracted otherwise,” Biff asserts that Burgh cannot seek the entire amount from him alone.20 Biff believes this interpretation is consistent with the Court’s finding that the community property settlement agreement controls the parties’ obligations on the debt.21 Therefore, his amendment would be consistent with this Court’s order and reasons22 granting

14 Id. at 5–6; see also id. at 3 (“[Biff’s] motion is contrary to established law because Biff and Jackie are solidary obligors, allowing Burgh to enforce the note individually against only the defendant for the full amount.”). 15 Id. at 8–9 (“It was not until this motion that [Biff] decided to raise the argument that Jackie should pay half of the judgment to Burgh directly. As a result, his argument and motion are untimely.”). 16 Id. at 12. 17 R. Doc. No. 95. 18 Id. at 4. 19 Id. 20 See id. at 4–5. 21 Id. at 5. 22 R. Doc. No. 79. Burgh’s motion for summary judgment and Biff’s motion for partial summary judgment.23 Should the Court be unpersuaded, Biff also asserts that “[a]t a minimum, the Judgment should be amended to provide that Biff and Jackie are co-obligated for

the amount of the Judgment.”24 II. LEGAL STANDARD

A motion pursuant to Rule 59(e) “calls into question the correctness of the judgment.” Allen v. Envirogreen Landscape Professionals, Inc., 721 F. App’x 322, 328 (5th Cir. 2017) (citations omitted). “Granting such a motion is appropriate (1) to correct a manifest error of law or fact, (2) where the movant presents newly discovered evidence that was previously unavailable, or (3) where there has been an intervening change in the controlling law.” Jennings v. Towers Watson, 11 F.4th 335, 345 (5th Cir. 2021). A court may also, when deciding a Rule 59(e) motion, “make a clerical change, such as correct the names of parties or dates.” See Wilmington Sav. Fund Soc’y, FSB v. Myers, 95 F.4th 981, 982 (5th Cir. 2024). A Rule 59(e) motion to alter or amend the judgment “cannot be used to raise arguments which could, and should, have been made before the judgment issued.” In re Life Partners Holdings,

Inc., 926 F.3d 103, 128 (5th Cir. 2019) (citation modified). “Reconsideration of a judgment after its entry is an extraordinary remedy that should be used sparingly.” Koerner v. CMR Construction & Roofing, L.L.C., 910 F.3d 221, 226 (5th Cir. 2018).

23 R. Doc. No. 95, at 5. 24 Id. at 2. III. ANALYSIS The parties’ disagreements with respect to whether Burgh’s requested allocation of liability is “new” or whether the proposed amendment constitutes a

substantive change to this Court’s judgment are related. Both arise out of the parties’ different interpretations as to what this Court considered and decided in its order and reasons25 and corresponding judgment.26 To be clear, the Court intended the judgment as written.27 And the manner in which the judgment directs its execution is consistent with the Court’s order and reasons; the Court explicitly found that Burgh “exercised its option to demand a full

performance of the promissory note by Biff” and that Biff was entitled to seek contribution from Jackie, subject to the terms of the consent judgment and community property agreement.28 The Court also preemptively addressed Biff’s argument that the consent judgment overrides his solidary obligation in its discussion of whether Jackie was permitted to refuse to perform her obligations with respect to the HELOC agreement: [E]ven if Jaquelyn Burk were permitted to refuse to perform her obligations under the consent judgment . . . her remedy would be a rescission of the obligations in the consent judgment.

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