Coronado-Arrascue v. Roman Catholic

Colorado Court of Appeals·Decided November 13, 2025·No. 24CA1762·Unpublished

Opinion

24CA1762 Coronado-Arrascue v Roman Catholic 11-13-2025 COLORADO COURT OF APPEALS

Court of Appeals No. 24CA1762 El Paso County District Court No. 23CV32252 Honorable David Prince, Judge

Ricardo Coronado-Arrascue Plaintiff-Appellant, v. The Roman Catholic Diocese of Colorado Springs, Defendant-Appellee.

ORDER AFFIRMED AND CASE REMANDED WITH DIRECTIONS

Division I

Opinion by JUDGE MOULTRIE J. Jones and Kuhn, JJ., concur

NOT PUBLISHED PURSUANT TO C.A.R. 35(e)

Announced November 13, 2025

Baker Law Group, PLLC, Joseph A. O’Keefe, Colorado Springs, Colorado, for Plaintiff-Appellant

Taft Stettinius & Hollister, Richard F. Bednarski, John T. Melcon, Colorado Springs, Colorado, for Defendant-Appellee

¶1 Plaintiff, Monsignor Ricardo Coronado-Arrascue, appeals an order awarding attorney fees and costs to defendant, the Roman Catholic Diocese of Colorado Springs (the Diocese). We affirm the order and remand the case to the district court.

I. Background

¶2 In January 2022, Coronado-Arrascue and the Diocese entered into an agreement (Settlement Agreement) in which Coronado-Arrascue agreed to resign from his employment with the Diocese in exchange for compensation and retaining his status as a “priest in good standing” with the Diocese. Under the Settlement Agreement, the parties mutually agreed to refrain from making disparaging or defamatory comments about each other to third parties concerning “the matters released under this [Settlement] Agreement.” The parties also agreed to release each other from liability related to Coronado-Arrascue’s employment with the Diocese, including future attorney fees and costs related to claims arising from his employment. However, the Settlement Agreement also included a fee-shifting provision that said if litigation was brought to enforce the Settlement Agreement, the prevailing party would be entitled to reasonable attorney fees and costs incurred.

¶3 In June 2023, the Diocese issued a “Precept”1 that suspended Coronado-Arrascue from presenting himself as a priest within the Diocese and issued a letter to its clergy members advising them of the Precept.

¶4 Several months later, Coronado-Arrascue filed a complaint against the Diocese, alleging that the Precept defamed him and breached the Settlement Agreement. Coronado-Arrascue asserted claims for breach of contract, libel, intentional interference with contractual obligations, and extreme and outrageous conduct.

¶5 The Diocese filed a C.R.C.P. 12(b)(5) motion to dismiss Coronado-Arrascue’s complaint for failure to state a claim, asserting that his claims were barred by the church autonomy doctrine. That doctrine “prohibits civil court review of internal church disputes involving matters of faith, doctrine, church governance, and polity.” Jones v. Crestview S. Baptist Church, 192 P.3d 571, 572 (Colo. App. 2008) (quoting Bryce v. Episcopal Church, 289 F.3d 648, 655 (10th Cir. 2002)). The court agreed, granted the

1 A “precept” is a “command or principle intended especially as a

general rule of action.” Merriam-Webster Dictionary, https://perma.cc/C9BX-2MVL.

Diocese’s motion, and dismissed Coronado-Arrascue’s complaint. Coronado-Arrascue didn’t appeal the court’s dismissal order.

¶6 The Diocese later filed a motion for attorney fees and costs, seeking $16,020 in attorney fees and $120 in costs. As relevant here, the Diocese argued that it was entitled to its fees and costs for essentially two reasons: (1) section 13-17-201, C.R.S. 2025, and section 13-16-113(2), C.R.S. 2025, each mandated an award of attorney fees and costs because Coronado-Arrascue’s claims predominately sounded in tort; and (2) the fee-shifting provision of the Settlement Agreement applied because the Diocese prevailed on its motion to dismiss. The court didn’t immediately rule on the Diocese’s motion.

¶7 Meanwhile, Coronado-Arrascue filed the following motions, all related to the court’s dismissal order: (1) a motion to reconsider; (2) a supplemental motion to reconsider; (3) a motion for relief from judgment under C.R.C.P. 60; and (4) a motion to amend his

complaint to add “all responsible parties” to the litigation.2 Following briefing, the court denied Coronado-Arrascue’s requests for reconsideration of the dismissal order and for relief from judgment. Coronado-Arrascue didn’t appeal either order.

¶8 The Diocese then supplemented its fee motion to include the fees and costs it incurred addressing Coronado-Arrascue’s additional motions. In its supplemental motion, the Diocese sought a total of $29,555 in reasonable attorney fees and $264 in costs.

¶9 In a written order issued in May 2024, the court granted the Diocese’s motion. The court found that because Coronado-Arrascue chose to present the case as “primarily a tort action rather than just a contract case,” an award of fees and costs was statutorily mandated by sections 13-17-201 and 13-16-113(2). The court also found that the church autonomy doctrine didn’t bar enforcement of the Settlement Agreement as to fees and costs

2 Coronado-Arrascue conceded that he was barred from amending

his complaint in the reply brief to his motion to amend and thus withdrew that request. He then filed a separate action against the Diocese’s Bishop and Vicar General in El Paso County Case No. 24CV30702, the dismissal of which was affirmed by a division of this court. See Coronado-Arrascue v. Golka, (Colo. App. No. 24CA1542, June 5, 2025) (not published pursuant to C.A.R. 35(e)).

because determining whether the fee-shifting provision applied didn’t require the court to delve into “issues of church governance, faith, or doctrine.” The court then concluded that under the fee-shifting language in the parties’ Settlement Agreement, the Diocese was entitled to an award of fees and costs as the prevailing party.

¶ 10 Although the court found that the Diocese was entitled to its fees and costs, the court granted Coronado-Arrascue a hearing to dispute their reasonableness and permitted the Diocese to supplement its request to address any additional fees and costs incurred leading up to and through the resolution of the hearing.

¶ 11 Before the hearing, the Diocese supplemented its request for attorney fees and costs to include the additional fees and costs it had incurred in preparation for the hearing, as well as those it anticipated it would incur by participating in the hearing.

¶ 12 The parties appeared for the fee hearing five months later. However, the court vacated the fee hearing on the record after Coronado-Arrascue’s counsel failed to present any argument regarding the requested fees and costs. The court further denied as untimely Coronado-Arrascue’s oral request to reconsider its May

2024 order granting the Diocese’s fees and costs. The same day, the court issued a written order awarding to the Diocese $32,480 in attorney fees and $360 in costs.

¶ 13 Coronado-Arrascue appeals.

II. Analysis

¶ 14 On appeal, Coronado-Arrascue doesn’t challenge the reasonableness of the amount of fees and costs awarded. Instead, he challenges the court’s fees and costs award on two bases. First, he contends that the court lacked subject matter jurisdiction to enter the award. In support of this contention, he reasons that because the court determined that the church autonomy doctrine divested it of subject matter jurisdiction to consider the substance of his claims, it follows that the church autonomy doctrine also divested the court of subject matter jurisdiction to consider the Diocese’s request for an award of fees and costs. Second, Coronado-Arrascue contends that resolving the Diocese’s request for fees and costs would require the court to become “excessively entangled” with religion in violation of the church autonomy doctrine. We reject both contentions.

A. Preservation

¶ 15 The Diocese asserts that Coronado-Arrascue failed to preserve3 his argument that the church autonomy doctrine deprived the court of subject matter jurisdiction to award fees and costs on a statutory basis.

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