TracFone Wireless, Inc. v. Holden Property Services, LLC

103 F. Supp. 3d 1357, 2015 U.S. Dist. LEXIS 63284, 2015 WL 2182780
CourtDistrict Court, S.D. Florida
DecidedMay 8, 2015
DocketCase No. 1:14-cv-20959-KMM
StatusPublished
Cited by5 cases

This text of 103 F. Supp. 3d 1357 (TracFone Wireless, Inc. v. Holden Property Services, LLC) is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
TracFone Wireless, Inc. v. Holden Property Services, LLC, 103 F. Supp. 3d 1357, 2015 U.S. Dist. LEXIS 63284, 2015 WL 2182780 (S.D. Fla. 2015).

Opinion

ORDER GRANTING TRACFONE’S MOTION FOR ORDER OF CONTEMPT FOR DEFENDANTS’ FAILURE TO COMPLY WITH THE COURT’S ORDER

K. MICHAEL MOORE, Chief Judge.

This matter is before the Court on Plaintiff TracFone Wireless, Inc.’s (“TracFone”) Motion [D.E. 35] for the entry of an order finding Defendants Holden Property Services, LLC and Patrick La-Marsh (collectively, the “Defendants”) in contempt of Court for their failure to comply with the Court’s Order. Upon review of the motion and supporting record, the motion is GRANTED.

I. BACKGROUND

TracFone seeks entry of an order finding Defendants in contempt of Court. In support of its motion, TracFone relies on this Court’s record and the record of related post-judgment proceedings that TracFone has commenced in the United States District Court for the Western District of Pennsylvania.

TracFone seeks to obtain .Fla. R. Civ. P. Form 1.977 Fact Information Sheets from Defendants, which Defendants were ordered to complete as a result of a judgment entered in TracFone’s favor in this action. This action arose from Defendants’ alleged participation in illegal and illicit business practices involving the theft of TracFone’s Straight Talk airtime service cards. This Court finds that the facts in the record are indisputable. Accordingly, the Court makes the findings of fact and conclusions of-law as set forth below.

II. FINDINGS OF FACT

The Court finds that on July 21, 2014, this Court entered an order granting Default Final Judgment and Permanent Injunction (the “July 21, 2014 Order”) in favor of TracFone and against Defendants in the amount of $839,775.00. [D.E. 29]. Upon review of the record, the Court finds that the July 21, 2014 Order required Defendants to complete the Fact Information Sheet set forth in Fla. R. Civ. P. Form 1.977, including all required attachments, and serve it on Tr,acFone’s counsel with forty-five (45) days (by September 4, 2014). [D.E. 29 at ¶ 10],

The Court finds that TracFone has established that it notified Defendants of this requirement multiple times: first, by a letter dated July 28, 2014, which was hand-delivered to Defendants by process server; and again by a letter dated September 12, 2014, which was delivered by FedEx. [D.E. 31-1, 2]. The Court finds that on September 30, 2014, this Court entered an order (the “September 30, 2014 Order”) requiring Defendants to show cause and explain their failure to comply with the Court’s July 21, 2014 Order. [D.E. 32]. The September 30, 2014 Order required Defendants to show cause on or before October 15, 2014. Id. After reviewing TracFone’s Motion and the Court’s own [1360]*1360record, the Court finds that Defendants have not returned Form 1.977 to TracFone or otherwise explained their failure to do so.

Accordingly, the Court hereby finds that Defendants shall be held in contempt of Court.

III. CONCLUSIONS OF LAW

a. The Court Has Inherent Authority to Issue Contempt Orders

This Court has the inherent authority to enforce its own orders by the exercise of contempt powers. Citronelle-Mobile Gathering, Inc. v. Watkins, 943 F.2d 1297, 1301 (11th Cir.1991) (citing Shillitani v. United States, 384 U.S. 364, 370, 86 S.Ct. 1531, 16 L.Ed.2d 622 (1966)). The party seeking civil contempt bears the initial burden of proving by clear and convincing evidence that the alleged contem-nor has violated an outstanding court order. Commodity Futures Trading Com’n v. Wellington Precious Metals, Inc., 950 F.2d 1525, 1525 (11th Cir.1992).

Where a party continuously violates, disobeys, or otherwise ignores a valid court order, that party may be subject to being held in contempt of court and have fines, fees, and costs assessed against them. See Brother v. BFP Investments, Ltd., 2010 WL 2978080 at *5-7 (S.D.Fla. July 26, 2010). •

b. The Court Has Additional Specific Authority to Issue Contempt Orders Pursuant to Fed.R.Civ.P. 70(e)

Moreover, as the order that Defendants have disobeyed is in connection with a judgment, “Federal Rule of Civil Procedure 70(e) ... provides that when a party disobeys a lawful order, a district court may ... hold the disobedient party in contempt.” Breen v. Tucker, 821 F.Supp.2d 375, 383 (D.D.C.2011); Rancheria v. Salazar, 2013 WL 6185450, at *2 (E.D.Cal. Nov. 23, 2013) (“Rule 70(e) contempt may issue where the court has required the party to perform any specific act, and the party fails to comply within the time specified.”); see also Distributors Ass’n Warehousemen’s Pension Trust v. Foreign Trade Zone 3, Inc., 2009 WL 844064, *2 (N.D.Cal. Mar. 30, 2009) (“Federal Rules of Civil Procedure 70 provides relief for judgment creditors who need court assistance to enforce a judgment requiring the performance of a specific act by the judgment debtor.... Rule 70(e) permits a court to hold the disobedient party in contempt.”).

c.TracFone’s Request for a Contempt Finding Satisfies the Three-part Test for Imposition of Such Relief

In the Eleventh Circuit, “[o]n a contempt motion, the movant bears the initial burden of proving, by clear and convincing evidence, the defendant’s noncompliance with a court order.” Brother v. BFP Investments, Ltd., 2010 WL 2978077, *2 (S.D.Fla. June 1, 2010) (quoting Thomas v. Blue Cross and Blue Shield Ass’n, 594 F.3d 814, 821 (11th Cir.2010)). “Proof of contempt must be clear and convincing.” S.E.C. v. Pension Fund of America, L.C., 2006 WL 1104768, *7 (S.D.Fla. Mar. 23, 2006) (citing McGregor v. Chierico, 206 F.3d 1378, 1383 (11th Cir.2000)). The movant must demonstrate that “(1) the allegedly violated order was valid and lawful; (2) the order was clear, definite and unambiguous; and (3) the alleged violator had the ability to comply with the order.” Id.

Once “the movant satisfies this burden, the burden then shifts to the al[1361]*1361leged contemnor to explain his noncompliance at a show cause hearing before the District Court.” Brother v. BFP Investments, Ltd., 2010 WL 2978077, at *2 (citing Chairs v. Burgess, 143 F.3d 1432, 1436 (11th Cir.1998)). Then, “[t]o overcome a finding of contempt, the contemnor must prove that despite all reasonable efforts to comply with the court’s order, compliance was impossible.” Brother v. BFP Investments, Ltd., 2010 WL 2978077, at *2 (citing In re Chase & Sanborn Corp., 872 F.2d 397, 400 (11th Cir.1989)).

The Court finds that, here, the violated orders were valid and lawful.

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103 F. Supp. 3d 1357, 2015 U.S. Dist. LEXIS 63284, 2015 WL 2182780, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tracfone-wireless-inc-v-holden-property-services-llc-flsd-2015.