Home Port Rntls Inc v. Intl Yachting Grp

CourtCourt of Appeals for the Fifth Circuit
DecidedJune 26, 2001
Docket00-30610
StatusPublished

This text of Home Port Rntls Inc v. Intl Yachting Grp (Home Port Rntls Inc v. Intl Yachting Grp) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Home Port Rntls Inc v. Intl Yachting Grp, (5th Cir. 2001).

Opinion

REVISED - June 25, 2001

IN THE UNITED STATES COURT OF APPEALS FOR THE FIFTH CIRCUIT

No. 00-30610

HOME PORT RENTALS, INC.,

Plaintiff-Appellee-Cross-Appellant,

v.

THE INTERNATIONAL YACHTING GROUP, INC., ETC.; ET AL.,

Defendants,

ROGER MOORE,

Defendant-Appellant-Cross-Appellee.

- - - - - - - - - - Appeals from the United States District Court for the Western District of Louisiana - - - - - - - - - -

May 21, 2001

Before WIENER and STEWART, Circuit Judges, and SMITH, District Judge.*

WIENER, Circuit Judge.

Appellant-Cross-Appellee Roger Moore and several co-defendants

were cast in judgment in March, 1989 (the “1989 judgment”) by the

United States District Court for the District of South Carolina

(the “rendering court”). Although he did not appeal that judgment,

two of his co-defendants did, and it was affirmed. Moore now

appeals from a judgment rendered a decade later by the district

* District Judge of the Western District of Texas, sitting by designation. court for the Western District of Louisiana, (1) denying Moore’s

motion to dismiss two petitions filed simultaneously on March 17,

1999 by Appellee-Cross-Appellant Home Port Rentals, Inc. (“Home

Port”), the successful plaintiff in the rendering court which

sought to register and enforce the 1989 judgment in the district

court for the Western District of Louisiana (the “registration

court”), and (2) declaring the 1989 judgment enforceable in the

Western District of Louisiana until April 2, 2002, the tenth

anniversary of the 1989 judgment’s finality on appeal. We affirm

the registration court’s denial of Moore’s motion to dismiss; we

modify that court’s declaration of enforceability in the Western

District of Louisiana by changing the commencement date of the

applicable period of limitation (Louisiana’s 10-year liberative

prescription for enforcement of judgments) from April 2, 1992 (the

date that the 1989 judgment was affirmed by the Fourth Circuit) to

March 17, 1999, the date it was registered in the registration

court; and, as thus modified, we affirm the registration court’s

declaration of enforceability of the 1989 judgment in the Western

District of Louisiana.

I. Facts and Proceedings

In 1989, the rendering court held Moore and his co-defendants

liable to Home Port for $1,200,000 in compensatory damages and

$50,000 in punitive damages for securities fraud, common law fraud,

and breach of contract. By an order dated March 16, 1989 and

entered March 17, 1989, the rendering court directed its clerk of

court to enter judgment for Home Port, which the clerk did on March

2 20, 1989. This judgment, the 1989 judgment, was affirmed by the

United States Court of Appeals for the Fourth Circuit, and that

court’s mandate issued on April 2, 1992. Ultimately, the Supreme

Court of the United States denied certiorari.

Fast forward to 1999. On March 17 of that year —— three days

shy of the tenth anniversary of the rendering court’s entry of the

1989 judgment —— Home Port simultaneously filed two petitions in

the registration court. One seeks registration of a foreign

judgment, pursuant to 28 U.S.C. § 1963; the other seeks to enforce

that judgment in the Western District of Louisiana.

After Moore filed a motion to dismiss Home Port’s two

petitions, the registration court referred the case to a magistrate

judge for a Report and Recommendation, which was prepared and filed

in due course. The magistrate judge recommended that the district

court deny Moore’s motion to dismiss Home Port’s petitions and that

the court declare the 1989 judgment enforceable in the Western

District of Louisiana until April 2, 2002, 10 years after the

issuance of the Fourth Circuit’s mandate affirming the appealed

1989 judgment.

Both Moore and Home Port filed written objections to the

magistrate judge’s recommendations. Moore faulted the report for

“failing to apply Louisiana Civil Code art. 3501 in its entirety”

and for finding the 1989 judgment enforceable until April 2, 2002,

rather than until March 20, 1999 only. Moore contended that the

earlier date, 10 years after the 1989 judgment was entered by the

rendering court, was the last date on which South Carolina law

3 would permit that judgment to be enforced, regardless of appeal,

insisting that South Carolina law should control.1

Home Port’s objection criticized only the magistrate judge’s

legal conclusion that the running of Louisiana’s prescriptive

period for an action to enforce a registered judgment commenced to

run on the day the underlying judgment was affirmed on appeal. Home

Port contended that Louisiana’s 10-year liberative prescription,

which applies to money judgments in federal district courts located

in the state, commences to run not from either the date on which

the original judgment was entered in the rendering court or the

date on which it was affirmed on appeal, but from the date it was

registered in the registration court. Specifically, Home Port

faulted the report’s conclusion that, for purposes of enforcement

in the registration court’s district, registration under § 1963 is

not governed by the same prescriptive period as would be applicable

to a plenary judgment of a Louisiana-domiciled federal district

court grounded on a foreign judgment (“judgment-on-judgment”); and

that § 1963 rather than Louisiana law governs the commencement date

for the running of prescription on a judgment of the registration

court.

1 We fail to see the significance of this difference to Moore because, using either date, Home Port’s commencement of judicial proceedings to enforce the 1989 judgment in the Western District of Louisiana was timely, i.e., was started before either South Carolina’s statute of limitations or Louisiana’s acquisitive prescription had expired, even when counting from the 1989 judgment’s date of entry. Under any system with which we are familiar, proceedings to enforce or execute a judgment need only be commenced before the bar date, even if the limitation period is a statute of repose or peremption; enforcement need not be completed before the bar date.

4 Over those objections, the district court adopted the

magistrate judge’s Report and Recommendation and ruled accordingly.

Moore timely filed a notice of appeal, and Home Port timely filed

such a notice for its cross-appeal.

II. Analysis

A. Standard of Review

We review the denial of Moore’s dismissal motion de novo.2 As

the material facts of this case are undisputed, the issues

presented on appeal, including interpretation of state and federal

statutes and jurisprudence, and determining which among those are

applicable, are issues of law so we also review them de novo.3

B. Background

When, on March 17, 1999, the rendering court’s money judgment

was registered in the registration court, it was still “live” ——

enforceable —— under applicable South Carolina law.4 Likewise, as

of its registration on March 17, 1999, the 1989 judgment would

still have been enforceable under Louisiana law.5 Thus, at a time

2 Calhoun County, Tex. v.

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