Caputo v. Globe Indemnity Co.

41 F.R.D. 436, 10 Fed. R. Serv. 2d 1506, 1967 U.S. Dist. LEXIS 11664
CourtDistrict Court, E.D. Pennsylvania
DecidedJanuary 31, 1967
DocketCiv. A. No. 40116
StatusPublished
Cited by2 cases

This text of 41 F.R.D. 436 (Caputo v. Globe Indemnity Co.) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Caputo v. Globe Indemnity Co., 41 F.R.D. 436, 10 Fed. R. Serv. 2d 1506, 1967 U.S. Dist. LEXIS 11664 (E.D. Pa. 1967).

Opinion

FINDINGS OF FACT, DISCUSSION AND CONCLUSIONS OF LAW AND ORDER

JOSEPH S. LORD, III, District Judge.

Plaintiff instituted this action pursuant to the proviso in F.R.Civ.P. 60(b) that, “This rule does not limit the power of a court to entertain an independent action to relieve a party from a judgment, order, or proceeding * * We denied defendant’s motion to dismiss on August 26, 1966 in an opinion which sets forth fully the nature of the case. Caputo v. Globe Indemnity Co., 41 F.R.D. 239 (E.D.Pa.1966). Having heard the matter on December 8, 1966, we will order that judgment be entered for defendant on the following summary findings of fact and conclusions of law.

[438]*438FINDINGS OF FACT

The defendant herein, Globe Indemnity-Company brought suit in this court against the plaintiff, Joseph Caputo, and nine other persons for conversion of its insured’s goods. The complaint was filed on November 9, 1962 and Mr. Caputo was properly served on November 27, 1962. Even before this formal notice, Caputo knew or had reason to know of the likelihood that a civil action would be brought against him because he had already pleaded guilty to criminal charges arising out of the same events. At that time, he had been advised by Stanley B. Singer, Esquire, then the attorney of one of his co-defendants in the criminal proceedings, that a civil suit would follow. Apprised of the probability of such proceedings, Caputo engaged Singer to represent him, and after he was served, he had the complaint forwarded to Singer.

Unfortunately, Singer did absolutely nothing to defend his client; no answer to the complaint was ever filed, and settlement was not discussed until after default judgment had been entered against Caputo on March 16, 1964.1 2A writ of execution issued against Caputo on May 21, 1964, and on June 10, 1964, counsel for Globe notified Caputo by letter of the outstanding judgment and the immineney of its foreclosure. Caputo then conferred with Singer, who called counsel for Globe about the prospects for settlement. Nothing came of these discussions. On June 16, 1964, Caputo paid Singer $750 for a possible settlement of the judgment and another $600 for the payment of certain real estate taxes. After that, he tried to reach Singer on a number of occasions, but it became increasingly difficult for him to contact his attorney.

On January 7,1965, a writ of execution against Caputo again issued. Finally, in January or February of 1965, Caputo sought the advice and assistance, but not direct legal representation of another attorney, Chester T. Cyzio, Esquire. His purpose was not to replace Singer with Cyzio, but primarily to effect the return of the money Caputo had given Singer because he had reason to believe it had been converted by his attorney.3 Cyzio advised Caputo to discharge Singer and formally request a return of all funds, and on February 24, 1965, Caputo wrote to Singer asking “for a release in order that I may obtain counsel elsewhere.”3 He also demanded remittance of the $1,350. Singer did not reply.

Cyzio testified that Caputo told him nothing about the default judgment (N.T. 68), but at Caputo’s urging he wrote to Singer on four occasions between March and May of 1965 and spoke to the errant attorney by phone once. Singer answered none of the letters, even though Cyzio made mention in his last letter of Caputo’s expressed intention to file a complaint against Singer with the Philadelphia Bar Association. In late May of 1965, Caputo did complain to the Committee of Censors. Eventually (probably in June, 1965), the funds which Caputo had given to Singer were returned to him.

On or about June 18, 1965, Caputo employed his present counsel to represent him. This affirmative action was no doubt motivated at least in part by receipt of a court order of May 19, 1965 to the effect that his home would be sold by the U. S. Marshal and by a visit from a deputy marshal who inventoried the contents of his home.

Plaintiff’s new counsel filed a motion under F.R.Civ.P. 60(b) (1) for relief [439]*439from the default judgment entered in 'Civil Action No. 32325. However, the motion was not filed until June 18, 1965, fifteen months after entry of judgment and over a year after Globe’s counsel had taken the trouble to notify Caputo personally of the judgment and writ of execution. On February 25, 1966 this court, by Judge Body, ruled that the motion was untimely under Rule 60(b) (1) 4 and that there was no “other reason justifying relief” under Rule 60(b) <6).

On April 13, 1966 the present “independent action” was filed; the motion ■to dismiss was denied on August 26, 1966; and a hearing on the merits con■cluded on December 8, 1966.

DISCUSSION AND CONCLUSIONS OF LAW

Counsel have stipulated that if this court were to permit the judgment to be opened, Caputo would have at least a prima facie meritorious defense. (N.T. 2). While this factor is not without significance, our inquiry must go heyond the merits of the original lawsuit if we are to ascertain whether extra•ordinary relief is warranted in this case. While the independent action authorized hy Rule 60(b) is a cumulative, not altermative, remedy, Caputo v. Globe Indemnity Co., supra, it is clearly one which -may be afforded only in the most unusual •circumstances justifying the exercise of •our equitable powers. See, generally, 7 Moore’s Federal Practice, ¶ 60.36 et seq.; Moore, Federal Relief from Civil Judgements, 55 Yale L.J. 623 (1946). Mere inadvertence or oversight, however innocent, on the part of the complainant is hardly enough to upset a judgment, ■even a default judgment, which has been •entered for over a year, a period of time which the drafters of the Federal Rules obviously felt had some significance in the determination of timeliness.

This Circuit, in an opinion by the late Judge Goodrich, had occasion to consider the applicability of the “independent action” clause in Rule 60(b) to a case involving a default judgment, Klapprott v. United States, 166 F.2d 273, 277 (C.A.3, 1948):

" * * * It appears that the types of situations in which one or more of these procedural devices was available to reopen a judgment are classified, roughly, into four groups: (1) errors of law apparent on the face of the record; (2) matters arising subsequently to an entry of a judgment; (3) newly discovered evidence or fraud in the procuring of the judgment; (4) matters of fact which had not been put in issue or passed on and which were material to the validity and regularity of the proceeding itself. * * * ” See, Restatement of Judgments, §§ 118-130.

To paraphrase Judge Goodrich’s evaluation of the appellant’s case: '“It is perfectly clear that when one goes over the allegations of the [Caputo] petition [and the evidence adduced at the hearing] * * * there is not a thing in them which fits the set of facts there presented into any situation on which relief could be given within the bounds of these well-established * * * remedies.”

Where a judgment has become final, it should normally remain that way without further opportunity to litigate the matters embraced in the judgment. The interests of the public and litigants require no less. Statutes, such as Rule 60(b) (1), which extend the common law remedies for correction of errors in the [440]

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41 F.R.D. 436, 10 Fed. R. Serv. 2d 1506, 1967 U.S. Dist. LEXIS 11664, Counsel Stack Legal Research, https://law.counselstack.com/opinion/caputo-v-globe-indemnity-co-paed-1967.