Padron v. Lopez

220 P.3d 345, 289 Kan. 1089, 2009 Kan. LEXIS 1082
CourtSupreme Court of Kansas
DecidedNovember 25, 2009
Docket100,763
StatusPublished
Cited by47 cases

This text of 220 P.3d 345 (Padron v. Lopez) is published on Counsel Stack Legal Research, covering Supreme Court of Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Padron v. Lopez, 220 P.3d 345, 289 Kan. 1089, 2009 Kan. LEXIS 1082 (kan 2009).

Opinion

The opinion of the court was delivered by

Luckert, J.:

This appeal arises from a district court’s decision to quash the registration and attempted enforcement of a Florida temporary injunction, filed under the Uniform Enforcement of Foreign Judgments Act (Foreign Judgments Act), K.S.A. 60-3001 et seq. We affirm this decision, holding that an ex parte temporary injunction is not entitled to full faith and credit because it is a prejudgment, temporary order. Therefore, it is not subject to enforcement under either the Foreign Judgments Act or the Full Faith and Credit Clause of the United States Constitution, Article 4, § 1. We further hold that the district court erred in examining the merits of the underlying action, considering a counterclaim, and entering an injunction and other orders because the Foreign Judgments Act grants only limited subject matter jurisdiction for the purpose of enforcing a foreign judgment. Finally, we conclude the district court did not abuse its discretion in refusing to recognize the foreign judgment as a matter of comity because the Florida order is contrary to the public policy of this state.

Factual and Procedural Background

The foreign judgment at issue in this case was entered in an action filed on March 18, 2008, in the Circuit Court of MiamiDade County, Florida. The Florida action was filed by Orlando Padrón, a resident of Florida, and HLMP Aviation Corporation, a Delaware corporation jointly owned by Padrón and Heman Lopez. (For ease of reference the plaintiffs will be collectively referred to as Padrón.) The named defendants in the Florida action were Lopez, a resident of Florida; PTC Aviation Corporation, a Florida *1092 corporation; Dodson International Parts, Inc., and Dodson Aviation, Inc., a/k/a Dodson International (collectively referred to as Dodson), both Kansas corporations; and 1st Source Bank, a “USA Indiana licensed banking institution.” Padrón alleged that Lopez, PTC, and Dodson conspired to defraud Padrón into organizing and investing capital in HLMP Aviation and then used the capital to purchase the Beech 200 Model Aircraft that is the focus of this case. At the time the Florida action was filed, Dodson, which is in the business of repairing aircraft, had possession of the aircraft in Kansas and had performed repairs on the aircraft.

In the Florida action, Padrón obtained an ex parte temporary order that enjoined the defendants “from selling, transferring, transporting, encumbering, auctioning, and operating” the aircraft. Further, the Florida temporary injunction ordered those in possession of the aircraft to transfer possession of the aircraft to Padrón or Padron’s agents “upon presentation of this Order” and authorized the relocation of the aircraft to Dade County, Florida. The Florida court indicated that the ex parte temporary injunction was being “granted without notice to the Defendants to prevent the Aircraft from being sold or transferred to third parties.” Although the order became effective upon the filing of a bond, the Florida order further provided: “The Defendants and all interested parties may petition this Court for relief from this Temporary Injunction as provided for under the Florida Rules of Civil Procedure and applicable Florida Law.” Under Rule 1.610 of the Florida Rules of Civil Procedure, 31 Fla. Stat. R.C.P. Rule 1.610 (2004), a party against whom an ex parte temporary injunction has been entered may move to dissolve or modify a temporary injunction. A hearing must be scheduled within 5 days of that motion.

The day after the ex parte temporary injunction was entered in the Florida action, Padrón filed a “Notice of Filing of Foreign Judgment” pursuant to the Foreign Judgments Act, K.S.A. 60-3001 et seq., in Franklin County, Kansas, where Dodson possessed the aircraft while performing repairs. Attached to the notice were copies of the Florida ex parte temporary injunction and a notice that Padrón had posted a $450,000 injunction bond in Florida. Within hours of the filing, Padron’s agents, with the assistance of the *1093 Franklin County Sheriff, removed the aircraft from Dodson’s possession.

Later that same day, Dodson filed a “Motion to Quash Foreign Judgment.” A few days later, Dodson filed an amended motion in which it expanded on its arguments. In both motions, Dodson alleged the Florida court did not have personal jurisdiction over Dodson and was without authority to enter the injunction. Dodson also asserted a mechanic’s hen pursuant to K.S.A. 58-201 and alleged that Padron’s removal of the aircraft jeopardized Dodson’s possessory mechanic’s hen and its ability to collect the amounts it was owed for parts and services related to the repair of the aircraft. Finally, Dodson asserted the judgment should be quashed because a bond had not been posted in Franklin County District Court as required by K.S.A. 60-901, the Kansas injunction statute. In the amended motion, Dodson requested that

“the court immediately quash the temporary injunction for lack of jurisdiction and failure to post the required bond and order [Padrón] to return the aircraft to the possession of [Dodson] in the State of Kansas. If the court declines to quash the temporary injunction, [Dodson] requests] that the court issue a stay of the injunction, return the aircraft to the possession of [Dodson], and order the aircraft to remain in [Dodson s] possession until such time as the matter can be more fully heard. If possession [of the aircraft] is not returned to [Dodson, it] requests that the court require a bond in an appropriate amount to be filed

Attached to the amended motion were affidavits of the president of Dodson Aviation and the chief financial officer of Dodson International Parts, Inc. The affidavits supported Dodson’s argument that its Kansas corporations were not subject to the Florida court’s jurisdiction; each affiant stated that the corporations were not registered to do business in Florida and had not done business in Florida. Attached to the Dodson Aviation president’s affidavit was a copy of Dodson’s mechanic’s hen that had been filed with the Franklin County Register of Deeds.

While Dodson objected to the Kansas action and filed pleadings in the Kansas case to quash the temporary injunction, no steps were taken in Florida to modify the ex parte temporary injunction. However, another defendant in the Florida action — 1st Source Bank— filed a motion seeking an increased injunction bond. The Florida *1094 court granted this motion and required an additional $800,000 to be posted. Padrón complied on April 30, 2008, and filed a notice in the Franklin County action reporting the filing of the additional bond.

Meanwhile, several hearings were conducted in the Kansas proceeding. On April 1, 2008, the Franklin County District Court granted Dodson’s motion to quash and found that the Franklin County Sheriff had not been given the authority in Kansas to seize the aircraft.

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Cite This Page — Counsel Stack

Bluebook (online)
220 P.3d 345, 289 Kan. 1089, 2009 Kan. LEXIS 1082, Counsel Stack Legal Research, https://law.counselstack.com/opinion/padron-v-lopez-kan-2009.