Grygorwicz v. Trujillo

2009 NMSC 009, 203 P.3d 865, 145 N.M. 650
CourtNew Mexico Supreme Court
DecidedFebruary 24, 2009
Docket30,939
StatusPublished
Cited by66 cases

This text of 2009 NMSC 009 (Grygorwicz v. Trujillo) is published on Counsel Stack Legal Research, covering New Mexico Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Grygorwicz v. Trujillo, 2009 NMSC 009, 203 P.3d 865, 145 N.M. 650 (N.M. 2009).

Opinion

OPINION

MAES, Justice.

{1} Defendant, Charlie Trujillo, appealed the denial of his claim for a homestead exemption in a foreclosure action. Plaintiff, Tasheena Grygorwicz, initiated the foreclosure action in partial satisfaction of a civil judgment she received for personal injuries resulting from sexual abuse. See Grygorwicz v. Trujillo, 2006-NMCA-089, 140 N.M. 129, 140 P.3d 550, cert. denied, 2006-NMCERT-007, 140 N.M. 280, 142 P.3d 361. The Court of Appeals held that Defendant had waived his right to the homestead exemption because he had failed to appeal within thirty days from the district court’s decree of foreclosure. Grygorwicz v. Trujillo, 2008-NMCA-040, ¶ 20, 143 N.M. 704, 181 P.3d 696. We hold that Defendant’s appeal was timely under Rule 12-201(D) NMRA because Defendant’s motion for claim of exemptions on execution, filed subsequent to the final foreclosure decree, tolled the time for filing a notice of appeal, and Defendant properly appealed within thirty days from the express denial of that motion. We further hold that there is no basis in the record to support the district court’s denial of Defendant’s homestead exemption and, therefore, remand this case to the district court with instruction to grant Defendant’s claim for a homestead exemption.

FACTS

{2} Following a bench trial, the district court found in Plaintiffs favor on her sexual abuse claim and awarded her $1.3 million in damages. See Grygorwicz, 2008-NMCA-040, ¶ 2, 143 N.M. 704, 181 P.3d 696. On August 7, 2006, Plaintiff filed a motion to foreclose on Defendant’s home in partial satisfaction of the judgment debt. Id. ¶ 3. In response, Defendant asserted his right to a homestead exemption under NMSA 1978, Section 39-4-15 (1933) and NMSA 1978, Section 42-10-9 (1993, prior to the 2007 amendment).

{3} The district court’s foreclosure decree, entered on November 30, 2006, granted Plaintiff the property to either keep or sell in partial satisfaction of the judgment debt. Grygorwicz, 2008-NMCA-040, ¶3, 143 N.M. 704, 181 P.3d 696. To protect the property from neglect or wear during the pendency of the foreclosure, the district court also issued a writ of assistance to put Plaintiff in possession of the property immediately. Id. ¶¶ 3 — 1 The decree of foreclosure omitted an allowance for Defendant’s homestead exemption. Id. ¶ 4.

{4} The Taos County Sheriff executed the writ of assistance by locking Defendant and his wife out of the house and putting Plaintiff in possession of the property. Id. On December 4, 2006, Defendant filed a claim of exemptions on execution in the district court pursuant to Rule 1-065.1 NMRA. Id. Defendant claimed that both he and his wife were entitled to homestead exemptions. Id. Plaintiff argued that Defendant could not claim a homestead exemption under Rule 1-065.1, which applies to writs of execution, when the property had been seized under a writ of assistance. Id. The district court agreed and entered an order dismissing Defendant’s claim of exemptions on execution with prejudice on January 9, 2007. Id. Defendant filed a notice of appeal on January 19, 2007. Id.

{5} The Court of Appeals affirmed the district court’s order of dismissal. Id. ¶20. The Court noted that Defendant properly had raised his homestead exemption in response to Plaintiffs motion for foreclosure, as required by Section 39-4-15. Id. ¶ 6. The Court further concluded that the district court’s November 30 foreclosure decree was a final appealable judgment, however, and that Defendant’s failure to appeal from this judgment within thirty days, as prescribed by Rule 12-201(A)(2), constituted a waiver of his right to contest the district court’s denial of the homestead exemption. Id. ¶ 15.

{6} Defendant argued that his subsequent claim for exemptions on execution under Rule 1-065.1 preserved his right to a homestead exemption. The Court of Appeals rejected this argument, noting that Rule 1-065.1 is applicable only to writs of execution, not writs of assistance. Grygorwicz, 2008-NMCA-040, ¶ 16, 143 N.M. 704, 181 P.3d 696. The Court concluded that the district court properly denied Defendant’s request for a homestead exemption under Rule 1-065.1 because “foreclosure, not execution, was the operative procedure, and Defendant did not timely appeal from the district court’s foreclosure decree.” 1 Id.

DISCUSSION

{7} The issue before us is whether the Court of Appeals erred by holding that Defendant had “waived his homestead exemption claim by failing to pursue an appeal of the foreclosure decree within the time frame required by Rule 12-201(A)(2) NMRA.” Id. ¶ 1. The New Mexico Constitution, Article VI, Section 2, mandates that “an aggrieved party shall have an absolute right to one appeal.” We have held that this constitutional provision “evinces the strong policy in this state that courts should facilitate, rather than hinder, the right to one appeal.” Govich v. N. Am. Sys., Inc., 112 N.M. 226, 230, 814 P.2d 94, 98 (1991). Determining whether Defendant’s appeal was timely involves the interpretation of court rules, which we review de novo. See Albuquerque Redi-Mix, Inc. v. Scottsdale Ins. Co., 2007-NMSC-051, ¶ 6, 142 N.M. 527, 168 P.3d 99.

{8} We have held that the district court’s decree of foreclosure is both final and interlocutory in its operation. The decree serves two functions: first, it determines the rights of the parties in the property; and, second, it fixes the manner and terms of the foreclosure sale. Speckner v. Riebold, 86 N.M. 275, 277, 523 P.2d 10, 12 (1974). Whereas, the court’s judgment with respect to the manner and terms of sale is interlocutory, the declaration of the parties’ rights may be construed as a final judgment unless modified under the provisions of NMSA 1978, Section 39-1-1 (1917). Speckner, 86 N.M. at 277, 523 P.2d at 12 (discussing Section 21-9-1 in the 1953 statutory compilation, recompiled as NMSA 1978, Section 39-1-1). Similarly, Rule 12-201(D) provides that if a party makes a post-judgment motion directed at the final judgment pursuant to Section 39-1-1, the time for filing an appeal does not begin to run until the district court enters an express disposition on that motion. See Albuquerque Redi-Mix, Inc., 2007-NMSC-051, ¶ 15, 142 N.M. 527, 168 P.3d 99 (holding that our rules eliminated Section 39-1-1’s automatic denial provision). Therefore, when a party makes a motion challenging the district court’s determination of the rights of the parties contained in the foreclosure decree, the decree is not final, and the time for filing an appeal does not begin to run, until the district court disposes of the motion.

{9} Defendant properly asserted his homestead exemption in his answer to the foreclosure action. Section 39-4-15 (“The defendant, if he desires to claim such real estate or any part thereof as an exemption allowed by law, shall set up his claim of exemption by answer in such foreclosure suit.”).

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Cite This Page — Counsel Stack

Bluebook (online)
2009 NMSC 009, 203 P.3d 865, 145 N.M. 650, Counsel Stack Legal Research, https://law.counselstack.com/opinion/grygorwicz-v-trujillo-nm-2009.