Joy Wadley, Administratrix of the Estate of Farris Eugene Parliment v. Bobby Hatton and Wanda Hatton

2024 Ark. App. 297, 689 S.W.3d 691
CourtCourt of Appeals of Arkansas
DecidedMay 8, 2024
StatusPublished

This text of 2024 Ark. App. 297 (Joy Wadley, Administratrix of the Estate of Farris Eugene Parliment v. Bobby Hatton and Wanda Hatton) is published on Counsel Stack Legal Research, covering Court of Appeals of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Joy Wadley, Administratrix of the Estate of Farris Eugene Parliment v. Bobby Hatton and Wanda Hatton, 2024 Ark. App. 297, 689 S.W.3d 691 (Ark. Ct. App. 2024).

Opinion

Cite as 2024 Ark. App. 297 ARKANSAS COURT OF APPEALS DIVISION I No. CV-23-200

JOY WADLEY, ADMINISTRATRIX OF Opinion Delivered May 8, 2024 THE ESTATE OF FARRIS EUGENE PARLIMENT, DECEASED APPEAL FROM THE MONTGOMERY APPELLANT COUNTY CIRCUIT COURT [NO. 49CV-09-73]

V. HONORABLE ANDY RINER, JUDGE

BOBBY HATTON AND WANDA HATTON REVERSED AND REMANDED APPELLEES

BART F. VIRDEN, Judge

Appellant Joy Wadley, administratrix of the estate of Farris Eugene Parliment,

deceased, appeals from the Montgomery County Circuit Court’s order denying the estate’s

petition for writ of scire facias to revive a deficiency judgment obtained during foreclosure

proceedings against appellees Bobby and Wanda Hatton. Wadley argues that the trial court

erred in determining that the ten-year period for revival, or renewal, of a judgment via writ

of scire facias began to run from the date of the initial foreclosure decree—not the deficiency

judgment—because the initial foreclosure decree did not dismiss the parties from the case or

put the final judgment as between these parties into execution. Because we conclude that

the deficiency judgment may be revived pursuant to Ark. Code Ann. § 16-65-501 (Supp.

2021), we reverse and remand. I. Background

On October 9, 2009, Eugene Parliment filed a complaint in foreclosure against the

Hattons, Diamond Bank, and the United States of America, Department of the Treasury—

Internal Revenue Service (IRS). In his complaint, Parliment alleged that the Hattons had

executed a promissory note to him on November 12, 1996, for $186,657.46 and that on

January 29, 2004, they executed an addendum to the promissory note for $252,454.01 and

a mortgage on real property situated in Montgomery County. Parliment alleged that, as of

July 30, 2009, the Hattons were indebted to him in the amount of $316,591.13 in principal

and interest. Parliment acknowledged in his complaint that Diamond Bank held a first lien

on the Hattons’ property and asserted that the IRS held an inferior judgment or lien.

The defendants filed answers; Diamond Bank filed a countercomplaint and a cross-

complaint; the parties then filed answers to those complaints and all of the amended

complaints. These filings culminated in a hearing on December 10, 2010, and a judgment

was entered on March 2, 2011. The trial court determined that the Hattons, who had

admitted the validity of the liens and offered no defense, were in default. The trial court also

established the priority of the liens. As to Parliment, the trial court found that he held a

second lien and was entitled to $316,591.13; that Parliment’s right to foreclosure had

become absolute; and that Parliment was entitled to interest, an attorney’s fee, court costs,

and other necessary expenses incurred in connection with the collection of the indebtedness.

The trial court also appointed a commissioner to sell the Hattons’ real and personal property

to satisfy all of the liens. The trial court noted that, if a surplus remained after complete

2 payment to Diamond Bank, the commissioner was to distribute that surplus to Parliment

and then to the IRS.

On September 7, 2011, the trial court entered a deficiency judgment.1 The deficiency

judgment referenced the March 2 foreclosure judgment and noted that Diamond Bank’s

lien had been satisfied in full; that a surplus of $141,892.32 had been realized from the sale

of the Hattons’ property and had been paid to Parliment; and that the Hattons owed

Parliament a balance of $220,623.92. The trial court then “ordered, adjudged and decreed”

that the deficiency judgment in the amount of $220,623.92 was one “for which execution

may issue.” On December 6, 2011, Parliment caused a writ of execution to be issued;

however, the writ was returned by the sheriff’s office unsatisfied because the sheriff’s office

was notified by counsel for the Hattons that they had filed for bankruptcy on January 10,

2012. Parliment subsequently died.

On March 19, 2021, Charles Parliment, then personal representative of Parliment’s

estate, filed a petition for writ of scire facias seeking to revive the deficiency judgment entered

September 7, 2011. The estate alleged that the current balance, considering all credits and

accrued interest, was $383,921.66. The estate filed its notice of the writ of scire facias seeking

to revive the deficiency judgment, and the Hattons were served with summonses and a copy

of the writ. On June 17, 2021, the Hattons objected to the writ on the basis that the trial

1 Arkansas Code Annotated section 18-49-105 (Repl. 2012) is titled “deficiency judgments.” If the whole of mortgaged property does not sell for a sum sufficient to satisfy the amount due, an execution may be issued against the defendant as on ordinary judgments. Ark. Code Ann. § 18-49-105.

3 court lacked jurisdiction to grant it because more than ten years had elapsed since the

original foreclosure judgment was entered on March 2, 2011.

The trial court issued an opinion finding that “the judgment of December 10, 2010

was the operative final judgment in this case” and that Parliment had ten years from

December 10, 2010, to revive the judgment, which had been placed into execution. 2 The

trial court later entered an order denying the estate’s petition for writ of scire facias, finding

that the judgment lien had expired and could not be renewed or revived. Administratrix

Wadley appeals from both the opinion and the order.

II. Standard of Review

When the issue is one of law, our review is de novo; however, we will not reverse a

trial court’s factual findings unless they are clearly erroneous. Middleton, supra. A finding of

fact made by a trial court sitting in equity is clearly erroneous when, despite supporting

evidence in the record, the appellate court viewing all of the evidence is left with a definite

and firm conviction that a mistake has been made. Id.

2 The ten-year period for filing a petition for writ of scire facias to revive a judgment runs from the date the judgment was entered on the record by the clerk of the court and not when the trial court pronounces its decision from the bench. Middleton v. Lockhart, 2012 Ark. 131, 388 S.W.3d 451. Here, the foreclosure hearing was held on December 10, 2010, and the trial court pronounced its decision from the bench, but the judgment was not entered until March 2, 2011. The trial court’s repeated references to the date of December 10, 2010, are inaccurate, but the trial court’s reasoning about expiration of the lien would be the same. In other words, the estate’s filing for a petition to revive the judgment on March 19, 2021, is more than ten years from both December 10, 2010, and March 2, 2011.

4 III. Discussion

A writ of scire facias is a writ issued requiring a person against whom it is brought to

show cause why a judgment should not be revived. Horne v. Cuthbert, 2015 Ark. App. 592,

473 S.W.3d 559. Scire facias is not the commencement of a new suit but is a continuation

of the old one, and its object is not to procure a new judgment for the debt but to execute

the judgment that has already been obtained. Id. Arkansas Code Annotated section 16-65-

501 governs the issuance of a writ of scire facias and provides, in pertinent part, that the

plaintiff or his or her legal representatives at any time before the expiration of the lien of a

judgment may sue out a scire facias to revive the judgment. Ark. Code Ann.

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Related

Malone v. Malone
991 S.W.2d 546 (Supreme Court of Arkansas, 1999)
Horne v. Cuthbert
2015 Ark. App. 592 (Court of Appeals of Arkansas, 2015)
Daniel v. Arkansas Department of Human Services
2017 Ark. 206 (Supreme Court of Arkansas, 2017)
Middleton v. Lockhart
2012 Ark. 131 (Supreme Court of Arkansas, 2012)
Lawrence v. Ford Motor Credit Co.
449 S.W.2d 695 (Supreme Court of Arkansas, 1970)
Agribank, FCB v. Holland
27 S.W.3d 462 (Court of Appeals of Arkansas, 2000)

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2024 Ark. App. 297, 689 S.W.3d 691, Counsel Stack Legal Research, https://law.counselstack.com/opinion/joy-wadley-administratrix-of-the-estate-of-farris-eugene-parliment-v-arkctapp-2024.