State, Department of Law Enforcement v. One 1990 Geo Metro

889 P.2d 109, 126 Idaho 675, 1995 Ida. App. LEXIS 12
CourtIdaho Court of Appeals
DecidedFebruary 2, 1995
Docket20519
StatusPublished
Cited by10 cases

This text of 889 P.2d 109 (State, Department of Law Enforcement v. One 1990 Geo Metro) is published on Counsel Stack Legal Research, covering Idaho Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State, Department of Law Enforcement v. One 1990 Geo Metro, 889 P.2d 109, 126 Idaho 675, 1995 Ida. App. LEXIS 12 (Idaho Ct. App. 1995).

Opinion

LANSING, Judge.

The Idaho Department of Law Enforcement (the Department) brought this action for forfeiture of two automobiles, funds in a bank account, and $803 in United States currency. The Department’s complaint alleged that these assets had been used or were intended for use in connection with the illegal manufacture, distribution or possession of controlled substances, or were proceeds from the sale of controlled substances. Appellant Lino R. Mitchell filed a claim in the action, alleging that he was the owner of these assets and that they were neither proceeds of nor used in the conduct of illegal activities. Following the withdrawal of Mitchell’s counsel, a default judgment was entered against Mitchell. Acting pro se, Mitchell moved to set aside the default judgment, which motion was denied by the district court. From that adverse decision, Mitchell appeals.

The Department contends that Mitchell’s appeal is moot and therefore must be dismissed. We conclude that the appeal is not moot and that the district court abused its discretion in refusing to set aside the default judgment. Therefore we reverse the order denying Mitchell’s motion and remand this case for further proceedings.

I.

BACKGROUND

In May 1991, the Bonneville County Drug Task Force began investigating Mitchell’s activities because he was suspected of drug trafficking. The investigation culminated in Mitchell’s arrest. Mitchell was evidently convicted of at least one state or federal offense, for he was eventually incarcerated in the Idaho State Penitentiary and later at a federal correctional institution in Colorado. The nature of the offense or offenses for which Mitchell was convicted is not disclosed in the record before us.

On June 19, 1991, a complaint in rem was filed by the Department in the district court for Bonneville County pursuant to I.C. § ST-2744 seeking forfeiture of certain of Mitchell’s assets, namely $808.00 dollars in United States currency, a 1990 Geo Metro, a 1985 Pontiac Trans-Am, and a bank account containing $7,484.83. The complaint alleged that the money had either been used or was intended for use in the manufacture, possession or distribution of marijuana or cocaine, or was the proceeds of the sale of such substances, and that the two automobiles had been used or were intended for use in the transport or concealment of controlled substances.

Mitchell appeared through counsel and filed an answer and a claim asserting that none of the assets were subject to forfeiture because they were neither the proceeds of drug trafficking nor used in the commission of any crime.

*678 On February 27, 1992, Mitchell’s attorney filed a motion for leave to withdraw as counsel. The court granted the motion by an order dated March 3, 1992, which included the following term:

“IT IS FURTHER ORDERED, that if claimant fails to file and serve an additional written appearance in the action, either in person or a [sic] newly appointed attorney within such twenty (20) day period, such failure shall be sufficient ground for entry of default and default judgment against claimant or dismissal of the action against claimant, with prejudice, without further notice.”

This proviso in the order was clearly intended to comply with I.R.C.P. 11(b)(3), which precludes, for a period of twenty days after withdrawal of an attorney, any action in the proceeding that would adversely affect the withdrawing attorney’s client. The rule also requires that the order for withdrawal include a warning to the client that a default judgment may be entered if the client neither appoints new counsel nor files a notice of appearance pro se within the twenty-day period.

On March 13,1992, only ten days after the order for withdrawal of Mitchell’s attorney, the Department moved for default judgment pursuant to I.R.C.P. 55. Both the motion and a- supporting affidavit asserted as grounds for the default that Mitchell had failed to answer the complaint. On March 13, the district court granted the requested default judgment despite its previous order that no action could occur in the case for twenty days following the withdrawal of Mitchell’s counsel and despite the fact that the asserted basis for the default was incorrect inasmuch as Mitchell had in fact answered, filed a claim and conducted discovery.

On March 19, 1992, Mitchell wrote the district court expressing surprise at the entry of a default judgment less than twenty days after the withdrawal of his attorney and requesting an extension of time to retain new eounsel. The district court forwarded a copy of this letter to the court-appointed attorney representing Mitchell in the underlying criminal proceeding, but did not directly respond to the letter.

The Department evidently realized that the March 13 default judgment had been improperly obtained, for in April 1992, it again moved for a default judgment, this time stating as grounds Mitchell’s failure to make a new appearance pro se or through counsel within twenty days from the order allowing withdrawal of his attorney. The district court then granted a second default judgment on May 22, 1992, again ordering forfeiture of all of the assets named in the Department’s complaint. 1

On October 26, 1992, Mitchell, who by this time was incarcerated at a federal correctional institution in Englewood, Colorado, moved to set aside the default judgment pursuant to I.R.C.P. 60(b)(1) on the basis of excusable neglect. The district court denied Mitchell’s motion. Mitchell appeals from the order denying his motion to set aside the judgment.

II.

ANALYSIS

A. MOOTNESS.

Before considering the merits of Mitchell’s appeal we must address the Department’s contention that the appeal should be dismissed as moot. An action is moot if, “it presents no justiciable controversy and a judicial determination will have no practical effect upon the outcome.” Idaho County Property Owners Association, Inc. v. Syringa General Hospital, 119 Idaho 309, 315, 805 P.2d 1233, 1239 (1991).

The Department asserts that within eleven days after entry of the second judgment, and prior to Mitchell’s motion to set aside the judgment, the property at issue was transferred to Bonneville County. According to the Department, because the res of the action is no longer in the Department’s *679 possession or subject to its control, any decision of this Court reversing the judgment, and any ultimate judgment in favor of Mitchell on remand, would be useless. The Department argues that if a court finds that property in a forfeiture action is not subject to forfeiture, the only remedy expressly provided by the forfeiture statutes is that the court shall “order the property released to the owner.” I.C. § 37-2744(d)(3)(D)(III). With the property no longer in its possession, the Department contends that any judgment ordering the property’s return to Mitchell would be a useless gesture.

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Cite This Page — Counsel Stack

Bluebook (online)
889 P.2d 109, 126 Idaho 675, 1995 Ida. App. LEXIS 12, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-department-of-law-enforcement-v-one-1990-geo-metro-idahoctapp-1995.