Perez-Cruz v. Estate of Fernandez-Martinez

645 F. Supp. 1253, 1986 U.S. Dist. LEXIS 19566
District Court, D. Puerto Rico·Decided October 6, 1986·No. Civ. 78-2469CC·Published·Cited by 1 cases

Opinion

OPINION AND ORDER

CEREZO, District Judge.

At the pretrial conference held on October 5, 1984 codefendant United States of America argued that the trial to be held three months from that date1 should not be limited to those issues pending in the local court at the time of removal of this action and that all other issues already decided by that court should be relitigated before this forum. Its position, more extensively discussed in its memorandum, is that since the United States was an indispensable party to this action since ■ 1961 when it acquired an interest in the property being revendicated, as insuror of a mortgage on the property, or, since 1966, when it became subrogated in the mortgagee’s rights, any orders of the Commonwealth court issued before its joinder are not binding upon it. The United States goes even further. It contends that it has been so prejudiced by the lapse of time that it cannot now relitigate the issues decided by those orders and, therefore, the action against it should be dismissed.

The United States’ arguments are principally aimed at a 1963 resolution of the Superior Court of Puerto Rico, San Juan Part, affirmed by the Supreme Court of Puerto Rico in Fernández-Martínez v. Superior Court, 89 D.P.R. 754, 89 P.R.R. 737 (1964), where it was held that the judgment by default entered in Civil Case 2852 on November 14,1932 against plaintiffs and in favor of Manuel Fernández-Martínez, the basis for the latter’s title to the property and of his successors in title, was voidable because it was unlawfully entered by the Clerk of the Court against an incompetent defendant and two minor defendants and void “ab initio” for the Clerk lacked authority to enter a default judgment which was clearly for an uncertain sum since neither the incompetent mother nor her minor children could have accepted the sums requested in the complaint. The other orders of the local court, which antedate the joinder of the United States, were issued prior to its acquiring any interest in the property, were favorable to its mortgagor (codefendant Litheda Apartments, Inc.) and, consequently, to the interests of the United States,2 or have been reconsidered by this [1255] court and are, therefore, not the object of this order.3

Plaintiffs aver that since the United States had knowledge of this action and has actively defended against it, together with codefendant Litheda Apartments, the Superior Court’s decisions against the mortgagor should bind the United States.4

We must again remind all concerned that this is a multi-claim, multi-party suit which began thirty-nine years ago as a two-claim suit against a single defendant, Manuel Fernández-Martínez, to declare void the judgment entered in Civil 2852 and the public sale of their property and order the return of the property to the plaintiffs. As slow progress was made through discovery methods, and through chance, to ascertain the identity of more current owners of the property subject of the original cause, other defendants were joined and new causes of action were filed against these defendants.5 These claims, for recovery of property wrongfully transferred to the additional defendants and to nullify any recordings made in their favor, were contingent upon the results of plaintiffs’ original cause of action against codefendent Fernández-Martínez. It was this original cause of action which the Superior Court finally decided in its 1963 resolution.

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Perez-Cruz v. Estate of Fernandez-Martinez, 645 F. Supp. 1253, 1986 U.S. Dist. LEXIS 19566 (prd 1986).

645 F. Supp. 1253 (Perez-Cruz v. Estate of Fernandez-Martinez) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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