Horn v. Welch

2002 WY 138, 54 P.3d 754, 2002 WL 31108928
CourtWyoming Supreme Court
DecidedSeptember 23, 2002
Docket02-13
StatusPublished
Cited by17 cases

This text of 2002 WY 138 (Horn v. Welch) is published on Counsel Stack Legal Research, covering Wyoming Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Horn v. Welch, 2002 WY 138, 54 P.3d 754, 2002 WL 31108928 (Wyo. 2002).

Opinion

54 P.3d 754 (2002)
2002 WY 138

In the Matter of the Order of Contempt and Award of Attorneys' Fees as Sanction:
Robert W. HORN, Appellant (Respondent),
v.
Patty WELCH and David Hauser, Appellees (Petitioners).

No. 02-13.

Supreme Court of Wyoming.

September 23, 2002.

*756 Robert W. Horn, pro se, Jackson Hole, Wyoming, Representing Appellant.

Paul Harrison Stacey of Law Offices of Paul Harrison Stacey, Jackson Hole, Wyoming, Representing Appellees.

Before HILL, C.J., and GOLDEN, LEHMAN,[*] KITE, and VOIGT, JJ.

KITE, Justice.

[¶ 1] Attorney Robert Horn appeals from an order holding him, along with his clients, in contempt of court and imposing sanctions for failing to comply with a court order and pursuing frivolous litigation tactics. We hold the trial court failed to follow the requirements of W.R.Cr.P. 42 for contempt proceedings or the requirements for violations of W.R.C.P. 11. Accordingly, we reverse the contempt order and imposition of sanctions against Mr. Horn.[1]

ISSUES

[¶ 2] Mr. Horn states the issues as follows:

I

Can a citizen be held in contempt of an order which is not directed to that citizen and does not mandate that the citizen perform or refrain from performing any specified conduct?
II
Is it appropriate for the court to impose a sanction for criminal contempt which compels payment for the benefit of a party rather than mandating payment to the court?

Ms. Welch and Mr. Hauser present the following issues:

A.
Whether the appellate court should dismiss Appellant's appeal because the judgment *757 from which the appeal has been taken has been released.[[2]]
B.
Whether the decision of the trial court should be affirmed based on other matters of record thereby rendering Appellant's contentions moot[.]
C.
Whether the trial court was within the bounds of discretion in finding Appellant, Attorney Horn, in contempt based upon making false statements to the court[.]
D.
Appellee[s] request[] that this court certify that there is no reasonable cause for this appeal, and that this court award sanctions against Appellant[.]

We view the issue as whether the trial court's order is sustainable either as an appropriate sanction for criminal contempt of court under W.R.Cr.P. 42 or as an appropriate sanction under W.R.C.P. 11.

FACTS

[¶ 3] In 1996, Continental Investments of Wyoming, L.L.C. (Continental) purchased the Steak Pub Bar and Restaurant in Teton County and entered into an agreement with Ms. Welch and Mr. Hauser pursuant to which they agreed to act as managers of the business for Continental. Over the course of the next several months, disagreements arose between Continental and Ms. Welch and Mr. Hauser, culminating in Continental filing a complaint for breach of contract. Ms. Welch and Mr. Hauser filed a counterclaim against Continental and a third-party complaint against James G. Anderson, Jr., shareholder and manager of Continental, and Juline Christofferson, counsel for Continental. Ms. Welch and Mr. Hauser alleged they were forcibly removed from the restaurant's premises and, upon their removal, Continental, Mr. Anderson, and Ms. Christofferson took possession of personal property belonging to them, including business equipment, furniture, and fixtures. After Ms. Christofferson was named as a party, Mr. Anderson and Continental retained Mr. Horn to represent them in the proceedings.

[¶ 4] The trial court ordered Continental and Mr. Anderson to post a surety bond in the amount of the personal property in their possession which Ms. Welch and Mr. Hauser alleged belonged to them. On December 18, 2000, the trial court dismissed all the claims. Ms. Welch and Mr. Hauser objected, claiming the issue of Continental's continued possession of property belonging to them remained unresolved. Continental and Mr. Anderson, through Mr. Horn, responded, claiming all the property had been returned.

[¶ 5] Ms. Welch and Mr. Hauser filed a reply, alleging Mr. Horn's response contained deliberate misrepresentations concerning the return of the property. They alleged the representation that the property had been returned was false and Continental was deliberately perpetrating a fraud upon the court in the face of a court record clearly demonstrating the property had not been returned and the bond had not been paid. They sought an order granting judgment for them in the amount of the bond.

[¶ 6] The trial court entered an order on February 1, 2001, dismissing all claims, allowing Mr. Anderson and Continental to keep any property in their possession belonging to Ms. Welch and Mr. Hauser, and ordering payment of the bond amount to Ms. Welch and Mr. Hauser. Mr. Horn, on behalf of his clients, filed a motion in which he again represented to the court that all property was returned to Ms. Welch and Mr. Hauser and no basis existed for requiring Continental and Mr. Anderson to pay any amount. He asked the court to enter an order nunc pro tunc reflecting the property had been fully returned. Ms. Welch and Mr. Hauser claimed Mr. Horn's motion was again deliberately misleading, contained false statements, and constituted a fraud on the court. The court denied the motion for an order nunc pro tunc on March 21, 2001.

*758 [¶ 7] On April 27, 2001, Ms. Welch and Mr. Hauser requested an order compelling Continental, Mr. Anderson, and Mr. Horn to show cause why they should not be held in contempt for failing to comply with the orders requiring payment of the bond to them and asked for attorney's fees. A hearing was held September 21, 2001, at which time the trial court ruled the amount of the bond was to be turned over to Ms. Welch and Mr. Hauser. The court reserved ruling as to the issues of contempt and attorney's fees. On November 5, 2001, the trial court issued a decision letter in which it stated in relevant part:

The second issue is whether attorney fees should be allowed for attorney services required by the post judgment Petition for Rule to Show Cause and Petition for Post Judgment Garnishment. The Court found at the hearing in Jackson, Wyoming on September 21, 2001, that there was no basis whatsoever to support Mr. Horn's assertion that the property that was subject to the surety bond of $25,305.83, had been returned to Hauser and Welch, and that the exact amount due, if any, needed to be determined.
This matter had been resolved previously by Judge Troughton in his Order of January 31, 2001, and in his subsequent Order of March 15, 2001, denying the Plaintiff's motion for order nunc pro tunc, based on the assertion that the property had been returned.
Mr. Horn's and his clients' subsequent efforts to relitigate the one issue and Mr. Horn's subsequent representation to this Judge that the property had been returned was at best frivolous, did not have any proper purpose. It was done to harass, delay or to increase the cost of litigation. See W.R.C.P. 11(b).
The Court finds that James Anderson, Continental Investments of Wyoming, L.L.C[.] and their attorney, Robert W. Horn, are in contempt of Court for wilfully failing to abide by the order of the Court dated January 31, 2001, and for pursuing post judgment delaying tactics which were without merit. If Mr.

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Cite This Page — Counsel Stack

Bluebook (online)
2002 WY 138, 54 P.3d 754, 2002 WL 31108928, Counsel Stack Legal Research, https://law.counselstack.com/opinion/horn-v-welch-wyo-2002.