Czajka v. Holt Graphics Arts, Inc.

District of Columbia Court of Appeals·Decided March 7, 2024·No. 18-CV-1257 & 19-CV-0064 Czajka v. Holt Graphics Arts, Inc. (en banc)·Published

Opinion

Notice: This opinion is subject to formal revision before publication in the Atlantic and Maryland Reporters. Users are requested to notify the Clerk of the Court of any formal errors so that corrections may be made before the bound volumes go to press.

DISTRICT OF COLUMBIA COURT OF APPEALS Nos. 18-CV-1257 & 19-CV-0064

NICHOLAS ANTHONY CZAJKA, APPELLANT, v.

HOLT GRAPHIC ARTS, INC., APPELLEE.

Appeals from the Superior Court of the District of Columbia (2018-CAR-003673)

(Hon. William M. Jackson, Trial Judge)

(Argued En Banc December 12, 2023 Decided March 7, 2024)

David H. Cox, with whom Erica L. Litovitz was on the brief, for appellant.

Michael N. Russo, Jr. for D.C. Land Title Association, amicus curiae in support of appellant.

Horace L. Bradshaw, Jr. for appellee.

Before BLACKBURNE-RIGSBY, Chief Judge, and BECKWITH, EASTERLY, MCLEESE, DEAHL, HOWARD, and SHANKER, Associate Judges.

Opinion for the court by Associate Judge MCLEESE, with whom BLACKBURNE-RIGSBY, Chief Judge, and DEAHL and HOWARD, Associate Judges, join.

Dissenting opinion by Associate Judge SHANKER, with whom Associate Judges BECKWITH and EASTERLY join, at page 27.

MCLEESE, Associate Judge: Appellee Holt Graphic Arts, Inc. (“HGA”)

obtained a judgment in California, filed that judgment in the Superior Court of the District of Columbia, and then initiated the present action to enforce that judgment. Appellant Nicholas Anthony Czajka argues that the trial court should have dismissed the action as barred by the statute of limitations. A division of the court affirmed the trial court’s denial of the motion to dismiss. Czajka v. Holt Graphic Arts, Inc., 285 A.3d 524 (D.C. 2022); id. at 535 (Easterly, J., dissenting). The court granted rehearing en banc and vacated the decision of the division. Czajka v. Holt Graphic Arts, Inc., Nos. 18-CV-1257, etc., 2023 WL 3674359 (D.C. May 25, 2023). After further briefing and oral argument, the en banc court largely adopts the decision of the division as the decision of the en banc court, with certain revisions.

I. Factual and Procedural Background

The following basic facts appear to be undisputed for current purposes. HGA obtained a judgment against Allen Wilson in California in 2001. HGA filed the California judgment in Superior Court in November 2006. HGA then began efforts in Superior Court to enforce that judgment, including by trying to force the judicial sale of a condominium owned by Mr. Wilson in the District of Columbia. Substantial additional litigation ensued, and no judicial sale occurred. Rather,

Mr. Wilson passed away, and the personal representative of Mr. Wilson’s estate sold the condominium to two purchasers who in turn sold the condominium to Mr. Czajka.

In May 2018, HGA filed the current action, seeking to judicially foreclose on the condominium in order to enforce the California judgment that had been filed in Superior Court. Mr. Czajka’s predecessors in interest moved to dismiss the action, arguing among other things that the action was barred by the twelve-year statute of limitations applicable to the enforcement of judgments rendered by the Superior Court. D.C. Code § 15-101(a). HGA opposed the motion to dismiss, arguing among other things that the twelve-year period did not begin to run until the California judgment was filed in Superior Court in November 2006.

The trial court agreed with HGA and denied the motion to dismiss. The trial court also granted summary judgment to HGA on the merits, directing that the condominium be sold and that the proceeds be applied to HGA’s judgment.

II. Analysis

On appeal, Mr. Czajka argues only that HGA’s action was barred by the statute of limitations. We uphold the ruling of the trial court on that issue.

“We decide issues of statutory interpretation de novo.” In re G.D.L., 223 A.3d 100, 104 (D.C. 2020). “In interpreting statutory text, we first look to see whether the statutory language at issue is plain and admits of no more than one meaning.” Id. (brackets and internal quotation marks omitted). We also “consider statutory context and structure, evident legislative purpose, and the potential consequences of adopting a given interpretation.” Id.

A. Statutory Text

The issue before the court turns on the interaction between two provisions.

We have already mentioned the first: D.C. Code § 15-101(a). In pertinent part, that provision states,

[E]very final judgment or final decree for the payment of money rendered in the . . . Superior Court of the District of Columbia, when filed and recorded in the office of the Recorder of Deeds of the District of Columbia, is enforceable, by execution issued thereon, for the period of twelve years only from the date when an execution might first be issued thereon . . . .

The second provision, D.C. Code § 15-352, governs the filing of foreign judgments. In pertinent part, that provision states, “A foreign judgment filed with the Clerk shall have the same effect and be subject to the same procedures, defenses, or proceedings for reopening, vacating, or staying as a judgment of the Superior Court and may be enforced or satisfied in the same manner.” For purposes of that

provision, a foreign judgment is “any judgment, decree, or order of a court of the United States or of any other court that is entitled to full faith and credit in the District.” D.C. Code § 15-351(2). Until argument before the en banc court, it was undisputed that the California judgment is a foreign judgment for purposes of Section 15-352. At oral argument before the en banc court, however, Mr. Czajka suggested that HGA was required to keep the California judgment alive in California even after that judgment was filed in the District of Columbia, and that HGA’s failure to do so meant that the California judgment was no longer entitled to full faith and credit and was unenforceable in the District of Columbia. We decline to consider that belated argument. See, e.g., Jung v. Jung, 844 A.2d 1099, 1112 n.9 (D.C. 2004) (“We usually do not consider claims raised for the first time during oral argument because of the unfairness to the opponent, who has not had an opportunity to consider and present a response.”).

Mr. Czajka appears to read Section 15-101(a) and Section 15-352 in the following way. Under Section 15-101(a), the twelve-year limitations period for a Superior Court judgment begins to run as of the date when “an execution might first be issued thereon.” Once filed in Superior Court, a foreign judgment has the same effect as a Superior Court judgment, is subject to the same defenses, and is enforced in the same manner. D.C. Code § 15-352. The limitations period for enforcing a foreign judgment that has been filed in Superior Court therefore is twelve years from

when the execution might have been had on the foreign judgment. Implicitly assuming that California law permits immediate execution on judgments, Mr. Czajka concludes that the twelve-year period began to run when the California judgment was entered in 2001. On that view, this action is untimely, because the action was filed in 2018.

HGA reads the provisions differently. HGA points out that an execution could not have been issued on the California judgment in Superior Court until the California judgment was filed in Superior Court. HGA emphasizes the language in Section 15-352 stating that a registered foreign judgment has the same effect as a Superior Court judgment and may be enforced in the same manner. Although HGA does not fully lay out the steps in its reasoning, the theory seems to be the following: (1) the limitations period for a Superior Court judgment cannot begin until judgment has been rendered in Superior Court; (2) foreign judgments should be treated in the same way; and (3) the limitations period for foreign judgments thus cannot begin until the foreign judgment has been filed in Superior Court. On that theory, this action is timely, because the California judgment was filed in Superior Court in November 2006 and the action was filed in May 2018.

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