Sieg v. International Environmental Management, Inc.

375 S.W.3d 145, 2012 Mo. App. LEXIS 847, 2012 WL 2291381
CourtMissouri Court of Appeals
DecidedJune 19, 2012
DocketNo. WD 74100
StatusPublished
Cited by18 cases

This text of 375 S.W.3d 145 (Sieg v. International Environmental Management, Inc.) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sieg v. International Environmental Management, Inc., 375 S.W.3d 145, 2012 Mo. App. LEXIS 847, 2012 WL 2291381 (Mo. Ct. App. 2012).

Opinion

KAREN KING MITCHELL, Judge.

This is a service of process case. The first issue is whether, under Missouri law, service upon the registered agent of a foreign corporation was valid when the corporation (1) had been administratively dissolved by the Secretary of State; (2) had a second certificate of authority issued from the Secretary of State, listing the agent who was served as the registered agent; (3) had been administratively dissolved with respect to the second certificate of authority; (4) had updated the first certificate of authority, but not the second, by listing a new registered agent; and (5) had not statutorily revoked or changed the authority of the agent who was served. The second issue is, if such service was valid under Missouri law, whether the relevant Missouri rules and statutes, in allowing service in this manner, violate the Due Process clause of the Fourteenth Amendment. We hold that service was valid and that such service does not violate due process. Accordingly, we affirm.

Facts and Procedural Background

On August 19, 1996, Missouri’s Secretary of State issued a certificate of authority for Appellant International Environmental Management, Inc. (“IEM”) to do business in this state. The certificate identified IEM by the number 00430217 (“the first certificate of authority”). At that time, IEM’s registered agent was The Corporation Company. On August 31, 1998, the Secretary of State “administratively dissolved” IEM for failure to file an annual report. On November 9, 2000, IEM filed, with the Secretary of State, a document changing its registered agent from The Corporation Company to John S. Pletz.

On June 19, 2006, Respondent Ricky Sieg was injured in Missouri by a trash compactor that was allegedly manufactured, installed, and maintained by IEM.

Four days later, on June 23, 2006, IEM applied with the Secretary of State for a second certificate of authority. The application named United Corporate Services, Inc. (“UCS”) as IEM’s registered agent. That same day, the Secretary of State issued a certificate of authority for IEM to do business in Missouri (“the second certificate of authority”). The second certificate [149]*149of authority identified IEM by number 747488. In 2006, UCS, in its capacity as IEM’s registered agent, filed with the Secretary of State two separate change of address forms, both identifying IEM by the number associated with the second certificate of authority. On January 26, 2007, the Secretary of State administratively dissolved IEM (for failure to file an annual report), identifying it by the number associated with the second certificate of authority.

On August 29, 2007, UCS, in its capacity as IEM’s registered agent, filed with the Secretary of State a change of address form, identifying IEM by the number associated with the second certificate of authority.

On November 5, 2007, CT Corporation System (“CT Corporation”) filed, with the Secretary of State, a change of registered agent form, identifying IEM by the number associated with the first certificate of authority, and changing IEM’s registered agent on the first certificate from John S. Pletz to CT Corporation. However, CT Corporation filed nothing with respect to the second certificate of authority.

On August 20, 2009, Sieg and his wife, Respondent Jennifer Sieg, filed a lawsuit against IEM. On August 24, 2009, a process server served UCS with the summons and the petition. Since its last contact with UCS, IEM had changed both its physical address and its email address. Accordingly, UCS did not forward the summons and the petition to IEM’s correct address. IEM does not argue that UCS put the Siegs on notice that (1) it had forwarded the summons and the petition to the wrong address; or (2) IEM may have attempted to revoke UCS’s authority to accept service.

IEM did not plead, nor did it otherwise defend, and the circuit court accordingly entered an interlocutory order of default. The court then held a hearing to determine damages, and, on March 18, 2010, it entered a default judgment in the amount of $9,229,360.35 for Sieg and $500,000 for Jennifer Sieg.

On March 18, 2011, the Siegs’ attorney sent IEM a letter, addressed to its corporate headquarters in Georgia, stating that he intended to execute the judgment. On April 15, 2011, IEM filed a Motion for Relief From Void judgment, arguing that the Siegs had not achieved valid service of process in the lawsuit that led to the default judgment and that its right to due process had been violated. The circuit court held hearings on the motion and ultimately entered a judgment denying it. IEM appeals.

Standard of Review
Ordinarily, we review the circuit court’s ruling on a motion to set aside a judgment under Rule 74.06 for an abuse of discretion. However, whether a judgment should be vacated because it is void is a question of law that we review de novo; we give no deference to the circuit court’s decision.

Kerth v. Polestar Entm’t, 325 S.W.3d 373, 378 (Mo.App. E.D.2010) (internal citations omitted). De novo review means that we will apply the same standard that applied below. Am. Nat’l Prop. & Cas. Co. v. Ensz & Jester, P.C., 358 S.W.3d 75, 80 (Mo.App. W.D.2011).

Courts favor finality of judgments, so the concept of a void judgment is narrowly restricted. Forsyth Fin. Grp., LLC v. Hayes, 351 S.W.3d 738, 740 (Mo.App. W.D.2011). A judgment is void un der Rule 74.06(b)(4) only if the circuit court that rendered it (1) lacked subject matter jurisdiction; (2) lacked personal jurisdiction; or (3) entered the judgment in a manner that violated due process. Id. [150]*150“Valid service of process is a prerequisite to personal jurisdiction, and failure to comply with statutory requirements of process deprives the court of authority to adjudicate.” Maddox v. State Auto. Mut. Ins. Co., 356 S.W.3d 231, 234 (Mo.App. E.D. 2011). Accordingly, a judgment is void if it was rendered against a defendant who had not been served. Id.

Analysis

I. Whether the Siegs’ service of IEM complied with Missouri law

IEM argues that service of process was invalid in that, under section 351.594 1 service cannot be made on a foreign corporation’s registered agent once the foreign corporation is no longer authorized to do business in Missouri; IEM argues in the alternative that, once a foreign corporation is no longer authorized to do business in Missouri, service can be made only on the foreign corporation’s last appointed registered agent, and CT Corporation, not UCS, was the last appointed registered agent. We disagree.

a. The administrative dissolution of IEM did not automatically revoke its registered agent’s authority to accept service of process.

“Personal service within the state shall be made as follows: ... Upon a ... foreign corporation ... by delivering copies [of the summons and the petition] to its registered agent....” Rule 54.13(b)(3).

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Cite This Page — Counsel Stack

Bluebook (online)
375 S.W.3d 145, 2012 Mo. App. LEXIS 847, 2012 WL 2291381, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sieg-v-international-environmental-management-inc-moctapp-2012.