Corcoran Gallery of Art v. Petty

CourtDistrict of Columbia Court of Appeals
DecidedMarch 23, 2023
Docket21-CV-0695
StatusPublished

This text of Corcoran Gallery of Art v. Petty (Corcoran Gallery of Art v. Petty) is published on Counsel Stack Legal Research, covering District of Columbia Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Corcoran Gallery of Art v. Petty, (D.C. 2023).

Opinion

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DISTRICT OF COLUMBIA COURT OF APPEALS

No. 21-CV-0695

THE CORCORAN GALLERY OF ART AND THE TRUSTEES OF THE CORCORAN GALLERY OF ART, APPELLANTS,

V.

SUSANNE JILL PETTY, APPELLEE.

Appeal from the Superior Court of the District of Columbia (2019-CA-008131-F)

(Hon. Shana Frost Matini, Trial Judge)

(Argued October 20, 2022 Decided March 23, 2023)

Charles A. Patrizia, with whom Stephen B. Kinnaird and David S. Julyan were on the brief, for appellants.

Hannah Wigger, with whom Jim Burgess, Paul Werner, and Calla Simeone, were on the brief, for appellee.

Before DEAHL and ALIKHAN, Associate Judges, and GLICKMAN, Senior Judge. ∗

∗ Judge Glickman was an Associate Judge of the court at the time of argument. He began his service as a Senior Judge on December 21, 2022. 2

DEAHL, Associate Judge: The Constitution’s Full Faith and Credit Clause

generally obliges the District of Columbia courts to give conclusive effect to

judgments issued by other states’ courts. U.S. Const. art IV, § 1. That is not an

inexorable command, however, and we “may inquire into the jurisdictional basis of

the foreign court’s decree.” Underwriters Nat’l Assurance Co. v. N.C. Life &

Accident & Health Ins. Guar. Ass’n, 455 U.S. 691, 705 (1982). Except, that is,

where the jurisdictional issues were themselves “fully and fairly litigated and finally

determined” in the foreign court, in which case we owe those jurisdictional

determinations full faith and credit as well. Id. at 714.

This case presents an interesting twist on those well-established principles. A

California trial court issued a judgment with some reason to doubt, and without any

apparent consideration of, its jurisdiction to do so. The District’s courts have now

been asked to enforce that judgment. If that judgment were standing alone, our

courts would be free to scrutinize whether the California trial court had jurisdiction

to issue its judgment, as appellant, the Corcoran Gallery of Art, now asks us to do.

But the twist is that the Corcoran appealed the California trial court’s judgment to

the California Court of Appeal, where it litigated its jurisdictional challenges, and

the California Court of Appeal squarely rejected them. The issue before us is thus

whether that appellate court decision precludes us from scrutinizing the trial court’s 3

exercise of jurisdiction in the first instance. Put another way, we must decide

whether the full faith and credit analysis encompasses the appellate court’s

affirmance of the trial court’s judgment. The D.C. Superior Court answered in the

affirmative, in the order now on appeal, and concluded that the California Court of

Appeal had conclusively rejected the Corcoran’s jurisdictional challenges. The

Corcoran disagrees, and urges us to reject the Superior Court’s reasoning and to

consider its jurisdictional challenges anew.

We agree with the D.C. Superior Court and conclude that we owe full faith

and credit to the California Court of Appeal’s decision rejecting the Corcoran’s

jurisdictional challenges. Where another state’s appellate court has already

considered a jurisdictional challenge to an underlying judgment, that consideration

effectively inheres in the judgment itself, and we will not second-guess it. Because

the jurisdictional challenges raised in this appeal were already fully and fairly

litigated before the California Court of Appeal, we will not reconsider them now.

We affirm the Superior Court’s judgment. 4

I.

Cy Pres Proceedings

The Corcoran was a private art gallery in Washington, D.C., founded in 1869.

In 1994, the Corcoran entered into an agreement with the Alice C. Tyler Art Trust,

established by a philanthropist of that name. The Trust agreed to gift the Corcoran

a collection of artwork by the artist Suzanne Regan Pascal, plus $1 million to

maintain the collection, with the gift contingent on the Corcoran exhibiting the

collection for at least two months per year and keeping at least one piece of artwork

from the collection on display at all times. The Corcoran complied with those

conditions until 2014.

In 2014, the Corcoran decided to close its gallery after years of financial

struggles. The Corcoran trustees sought a cy pres order from the D.C. Superior Court

to have the Corcoran’s assets redistributed in a way that would align as much as

possible with the intent of its founder. See D.C. Code § 19-1304.13. The Tyler Trust

did not participate in the cy pres proceedings. The Superior Court issued a cy pres

order, under which the National Gallery of Art could take or help redistribute the

Corcoran’s art collection. The agreement provided that “the Corcoran Deed of Trust

and any other applicable instrument [wa]s deemed to be revised to the extent 5

necessary to permit the [Corcoran] Trustees to enter into” their agreement with the

National Gallery.

Under the agreement, the National Gallery could choose whether to

accession—meaning, take into its collection—each piece of art from the Corcoran

collection. If it chose not to accession a piece, the National Gallery would work with

the Corcoran trustees to identify museums or institutions within the District—or, as

a last resort, outside the District—that could take the works. The agreement also

provided that no artwork covered by the order could be removed from the District

without permission of the Attorney General of the District of Columbia. The

National Gallery decided not to accession the Pascal collection. While the Corcoran

and National Gallery were deciding how to distribute it, the Pascal collection was

kept in storage.

California Probate Court

In 2018, Susanne Jill Petty, as trustee of the Alice C. Tyler trust, sued the

Corcoran in the probate division of the California Superior Court for failing to abide

by the terms of its agreement with the trust. She filed a petition seeking the return

of the Pascal collection and the $1 million cash gift. The court held an initial hearing

at which an attorney for the Corcoran appeared and Petty asked for an extension of 6

time to properly serve her petition on the Corcoran. The Corcoran did not object to

the extension, and it indicated that it wanted the additional time to file its objections

in any event. A few weeks later, and five days before the next hearing was scheduled

to take place, the probate court added a note to the case’s “probate notes”—notes

about the case that the parties can view on the court’s website—pointing out

deficiencies in Petty’s service of the petition. See L.A. Cnty. Super. Ct. R. 4.4. The

probate court’s local rules state that any outstanding matters in the probate notes

must be cleared two court days before a hearing. L.A. Cnty. Super. Ct. R. 4.4(b).

The local rules also give the probate court discretion as to whether to waive its rules

in any given case. L.A. Cnty. Super. Ct. R. 4.2.

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