Faith Temple v. Steven DiPietro

2015 ME 166, 130 A.3d 368, 2015 Me. LEXIS 181
CourtSupreme Judicial Court of Maine
DecidedDecember 31, 2015
DocketDocket Cum-14-272
StatusPublished
Cited by16 cases

This text of 2015 ME 166 (Faith Temple v. Steven DiPietro) is published on Counsel Stack Legal Research, covering Supreme Judicial Court of Maine primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Faith Temple v. Steven DiPietro, 2015 ME 166, 130 A.3d 368, 2015 Me. LEXIS 181 (Me. 2015).

Opinion

HJELM, J.

[¶ 1] In 2012, Faith Temple, a church located in Portland, filed a complaint in state court seeking a judgment based on a U.S. Bankruptcy Court judgment that, under a former name, it obtained in 1985 against Steven DiPietro. During the pen-dency of the state court action, Faith Tem- *371 pie also moved for a writ of execution on the original bankruptcy judgment. The court (Wheeler; J.) issued an order directing the issuance of a writ, and then granted judgment on the pleadings in favor of Faith Temple on both its complaint and DiPietro’s counterclaim against Faith Temple and its pastor, Phillip Stearns, whom DiPietro had joined as a counterclaim. defendant.

[¶ 2] In this appeal, DiPietro contends that (1) Faith Temple’s complaint was not premised on a cause of action that is recognized in Maine; (2) the Bankruptcy Court’s 1985 judgment is unenforceable for lack of jurisdiction to issue a money judgment; (3) the court erred in authorizing the issuance of the writ of execution; (4) the court erred in granting judgment on the pleadings to Faith Temple; and (5) the court erred in dismissing his counterclaim against Stearns. Because we agree that the court erred in authorizing issuance of the writ of execution and in granting judgment on the pleadings to Faith Temple, we vacate both the execution order and the judgment. Further, because DiPietro stated claims against Stearns individually, we vacate the order granting Stearns’s motion to dismiss.

I. BACKGROUND

[¶ 3]’, In 1982, Faith Temple, which, according to the record, was then operating under the name of First United Pentecostal Church, entered into a contract with Steven DiPietro for construction of a church. After receiving partial payment from Faith Temple, DiPietro failed to complete the construction and then filed for bankruptcy in the U.S. Bankruptcy Court for the District of Maine. As part of that proceeding, Faith Temple, proceeding under its former name, sought a discharge-ability determination for its breach of contract claim against DiPietro pursuant to 11 U.S.C.S.' § 523(a)(2)(A) (LEXIS through Pub. L. No. 114-91).- In May 1985, the Bankruptcy Court issued a memorandum decision, concluding that $11,000 of the $25,000 claimed by First United was non-dischargeable and directing entry of an order to that effect. The Bankruptcy Court, acting through its clerk, then issued an order stating that First United was entitled to “recover of the defendant Stephen W. DiPietro, the sum of $11,000 with interest at the rate provided by law from 1 the date of entry of the order of judgment plus its costs.” The order states that it was sent to DiPietro’s attorney, but DiPie-tro denies receiving notice of the order.

[¶4] In September 2012, more than twenty-seven year's after the Bankruptcy Court issued its decision, Faith Temple filed a complaint in the Maine District Court (Bridgton) seeking a judgment against DiPietro in the amount of the Bankruptcy Court judgment plus compounding post-judgment interest, for a total of $119,547.25. On an ex parte motion filed by Faith Temple, the court (Powers, J.) allowed an attachment against DiPie-tro’s property in the amount of $125,000. DiPietro' then removed the case to the Superior Court (Cumberland County) and filed a motion to dismiss the complaint.

[¶ 5] In July 2013, after the court (Wheeler, J.) denied his motion to dismiss, DiPietro filed an answer to the complaint and a counterclaim against Faith Temple and Stearns. 1 ' In his answer, DiPietro denied virtually all of the factual allegations set out in the complaint, including Faith Temple’s allegation that he had not paid the judgment. Additionally, he raised thirty-two affirmative defenses, primarily *372 involving the validity of the Bankruptcy Court judgment and Faith Temple’s failure to obtain a writ of execution, but also including defenses such as laches, estoppel, and fraud. In his counterclaim against both Faith Temple and Stearns, DiPietro sought a declaratory judgment that Faith Temple was not entitled to a writ of execution, and also alleged slander of title; negligent infliction of -emotional distress; intentional infliction of emotional distress; unjust enrichment; abuse of process; violation of 42 U.S.C.S. § 1983 (LEXIS through P.L. 114-91); and misrepresentation and concealment.

[¶ 6] Stearns moved to dismiss DiPie-tro’s counterclaim against' him, claiming that he was improperly joined pursuant to M.R. Civ. P. 13(h), and also arguing that he could not be held individually liable for actions taken in his capacity as pastor of the church. Additionally, Faith Temple filed a motion for issuance of an order to show cause why an execution should not issue on the Bankruptcy Court judgment pursuant to 14 M.R.S. § 4654 (2015), which governs executions that do not fall within statutory time limits. DiPietro opposed the motion, arguing that Faith Temple had not presented any reasons for its delay in enforcing the Bankruptcy Court judgment and that, in any event, the judgment was invalid.

[¶ 7] In November 2013, a non-testimonial hearing was held on all pending motions. On December 30, 2013, the court granted Stearns’s motion to dismiss DiPie-tro’s counterclaim against him and Faith Temple’s motion for an order to show cause,. directing that a writ of execution issue.

[¶8] DiPietro moved for findings of fact pursuant to M.R. Civ. P. 52 and for reconsideration of the December 2013 order pursuant to M.R. Civ. P. 59(e). At around the same time, Faith Temple filed a motion for judgment on the pleadings pursuant to M.R. Civ. P. 12(c), arguing that because the court had determined that the bankruptcy judgment was valid and authorized issuance of an execution, there was no merit to any of DiPietro’s affirmative defenses or • counterclaims. Faith Temple also filed a motion for an additional attachment, calculating that “pre-judgment interest and costs can reasonably be expected to total $154,000,” and requesting that the existing attachment be increased to that amount. In- his opposition to that motion, DiPietro requested that the existing attachment be dissolved or reduced.

[¶ 9] On June 4, 2014, the court issued orders adjudicating all pending motions. First, it denied DiPietro’s motion ‘ for findings of fact and reconsideration, and directed that “[ejxecution shall issue forthwith” in the amount of $11,000 plus compounding post-judgment interest. The court also issued an order granting DiPietro’s motion to reduce the original attachment, reducing it from $125,000 to $52,195. 2 At the same time, however, the court issued an order granting Faith Temple’s motion for an additional attachment, ordering that attachment be made against DiPietro’s property in the total amount of $163,091.48. 3 The court also *373 granted Faith Temple’s motion for judgment on the pleadings “because the court rejects [DiPietroj’s analysis of this case in its entirety,” and entered final judgment for Faith Temple. DiPietro filed a timely appeal of those orders and the court’s December 2013 order pursuant to 14 M.R.S. § 1851 (2015) and M.R.App. P. 2(b)(3).

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Bluebook (online)
2015 ME 166, 130 A.3d 368, 2015 Me. LEXIS 181, Counsel Stack Legal Research, https://law.counselstack.com/opinion/faith-temple-v-steven-dipietro-me-2015.