Wong v. Cyfred, Ltd.

Opinion

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IN THE

THE SUPERIOR

SUPERIOR COURT OF GUAM

GUAM BY:

WAYSON W.S. WONG, CIVIL CASE NO.

no. CV0425-18

Plaintiff,

DECISION DECISION AND ORDER DENYING DENYING

vs. MOTION MOTION TO

TO STAY ENFORCEMENT OF

STAY ENFORCEMENT OF

THE AMENDED

AMENDED JUDGMENT

CYFRED, LTD., and andLEONARD

LEONARD FRANCIS

GILL aka FRANCIS GILL, aka FRANCIS

Defendants. Defendants.

Defendants, Cyfred, Ltd.

Ltd. and

and Francis Gill

Gill move

move the

the Court

Court to

to stay

stay the enforcement of the

January 21, 2025 2025 Amended

Amended Judgment

Judgment pending

pending the

the outcome

outcome ofrelated

of related cases, or in

cases, or in the alternate,

for leave of of court

court to post real property as a supersedeas supersedes bond pending

pending appeal.

appeal. The Court finds

that a stay stay of of the enforcement

enforcementof

ofthe

theAmended

AmendedJudgment

Judgmentisisunwarranted

unwarranted in

inthis

this matter

matter and

and that

that

Cyfred and Cyfred and Gill Gillmust

must post

post aa cash supersedes bond cash supersedeas equal to bond equal to the

the value

value of

ofthe

the Amended

Amended Judgment,

Judgment,

$200,619.74 1 as of January which is $200,619.74' 13, 2025, January 13, 2025,plus

plusinterest.

interest. As such,

such, the

theCourt

Court DENIES

DENIES Cyfred

Cyfred

and GilTs Motion. and Gill's Motion.

I. 1. LAW AND DISCUSSION DISCUSSION

A. There Thereare

areinadequate

inadequategrounds

grounds to

to require

require aa stay.

stay.

This Court has has inherent

inherent equitable

equitableauthority

authority to stay the execution of its own judgments,

however however there there are certain requirements that must must be

be met

metfor

for the

the Court

Court to

to exercise this

this discretion.

Waarhdad Waathdad v.v.Cyfred, Cyfred,Ltd,

Ltd, 2024 Guam 6 ~~

W 14-15.

14-15. The

The Guam

Guam Supreme

Supreme Court in

in Waathdad

Waathdad

11 Pending before the the Court is

is aa determination on an award award for

for further attorney's fees sought by Wong. See Wong. See CVR7.1 CVR 7.1 Form

Form 33 (Apr.

(Apr. 25,

25, 2025).

ORIGINAL

CV0425-18 CV0425-I8 DECISION AND ORDER DENYING MOTION TO STAY Page Page2

ENFORCEMENT OF THE ENFORCEMENT OF THE AMENDED AMENDED JUDGMENT

adopted the test put forth by California courts courts in determining

determining whether

whether grounds exist to permit the

Court to utilize its its discretion

discretion to

to stay

stay the

the execution

execution of

of aa judgment.

judgment. This test

test first requires that the

judgment creditor creditor and and judgment debtor are parties in both casesand then requires courts to

following factors:

weigh the following factors: (1)

(1) the

the likelihood

likelihoodofofthe

thejudgment

judgment debtor

debtor prevailing

prevailing in

in the

the other

action, (2) the amount of action; of the the judgment of

ofthe

the judgment

judgment creditor

creditor as

as compared

compared to the amount of the

of the

probable recovery of the judgment judgment debtor

debtor in

in the

the action

action on the disputed claim, claim; and (3) the

ability of

financial ability of the the judgment

judgment creditor to

to satisfy the judgment

judgment if a judgment

judgment is rendered against

the judgment judgment creditor creditor in

in the

the action

actionon

onthe

thedisputed

disputedclaim.

claim. Id.

Id W,i,i 17-18.

17-18.

Cyfred and Cyfred and Gill Gillargue

arguethat

thatthe

theAmended

AmendedJudgment

Judgment should

should be

be stayed on equitable grounds

ofCV0735-18,

pending the determination of CV0735-18, CV0426-18, CV0444-19, and CV0396-23 to allow

Cyfred to recover Cyfred to recover from from Wong

Wong what

what he

he could

could personally

personally owe

owe Cyfred.

Cyfred. Def.

De£'s Mot.

Mot. Stay

Stay

of Am. J.

Enforcement of J. at 3 (Jan. 29, 29, 2025). They argue

2025). They argue there

there is a strong

strong likelihood

likelihood of

of their

success in the other actions, a stay is is warranted until the

the exact

exact amount

amount owed

owed by Wong and his

clients in the other actions is determined, and that it will be difficult to to collect

collect from

from Wong

because of his because of his residence residenceininHawai'i

Hawai'i and

and from

from his clients

clients because

becauseofoftheir

theirindigency.

indigence. Id

Id at 3-8.

Wong opposes a stay stay arguing

arguing that

that the

the facts

facts and

andapplicable

applicable law

law in the other actions do do not

show that that Cyfred Cyfred is likely

likely to

to prevail,

prevail, the

the amount of the judgments judgments in

in favor

favor of

of Cyfred in other

actions will not not equal

equal in

in value

valueto

tothe

the amended

amended judgment in

in this

this case, and that

case, and that Cyfred

Cyfred has

has failed

failed to

establish Wong's insolvency. establish Wong's insolvency. Pl.'s Pl. 's Men.

Mem.ininOpp'n

Opp'ntotoDe£'s

Def. 'sStay

StayMot.

Mot.atat4-6

4-6(Mar.

(Mar. 28,

28, 2025).

2025).

The Court starts by by considering

considering the requirement requirement that the judgment creditor and judgment judgment

debtor are parties parties in both actions. The parties actions. The parties involved involved in

in this case

case are Wong, Cyfied,

Cyfred, and Gill.

Wong is not a party party in CV0735-18, but is a named named party

party in

in CV0426-18, CV0444-19, and

CV0396-23. CV0396-23. Cyfred Cyfred and

and Gill

Gill argue

argue that Wong

Wong is

is personally

personally liable

liable to them for the claims in

U v E lIll ORIGINAL

RG

CV0425-I8 CV0425-18 DECISION AND ORDER ORDER DENYTNG MOTION TO

DENYING MOTION TO STAY Page 3 Page

ENFORCEMENT OF THE

THE AMENDED JUDGMENT

CV0396-23, and for attorney's attorney's fees

fees in

in CV0426-18

CV0426-18 and CV0444-19 and that Wong has

represented that any judgment amount recovered judgment amount recovered in CV0425-18 CV0425-l will be used to pay Cyfred and

Gill in the other actions actions on behalf of

on behalf of his

his clients.

clients. Def.'s Mot. Stay Def.'s Mot. Stay Enforcement Enforcement of

of Am.

Am. J.

J. at 2.

The Court, however, follows follows the

the requirements ofthe

requirements of the Waafl'/dad Waathdad test that the

the judgment

judgment creditor

creditor

judgment debtor are parties in both actions.

and judgment

Moreover, other logistical reasons justify denial of justify the denial of aa stay.

stay. When the Court considered

previous stays in in CV0735-18, this Court

Court was the only

only tribunal overseeing

overseeing actions

actions related

related to these

parties. In parties. In the ensuing years, multiple actions have arisen arisen and of and are being adjudicated outside of

this Court. Requiring Requiring the

the Court

Court to

to consider probability of consider the probability ofthe the likelihood

likelihoodofofsuccess

success in

multiple multiple pending pending actions, including those outside of those outside of its

its purview,

purview, is

is overly

overly burdensome.

burdensome. Without

the Court's ability to oversee Court's ability oversee other other actions

actions and

and monitor

monitor their

their timing, the Court

Court is deeply

concerned about external concerned about external decisions decisionsfurther

further delaying

delaying the

the resolution

resolution of

of this action.

action. Based

Based on this

concern alone, the Court believes there is sufficient justification to refrain from exercising its

discretion to permit a stay.

Similarly, when considering the potential amounts sought sought among

among all

all cases, the Court

finds that there is is too much uncertainty to confidently state that the amount of the judgment the amount of judgment of

the judgment judgment creditor is comparable to the amount amount of

of the probable

probable recovery

recovery of the judgment

debtor in this action.

Further, as Wong's clients are Wong's clients are not

not parties

parties in

in this

this action,

action, the Court does not consider the

ability ability of ofCyfred Cyfred and

and Gill

Gillto

to collect

collect from

from them

them to satisfy additional additional judgments.

judgments. Cyfred and

and Gill

Gill

argue that this factor is met because Wong resides in in I-iawai'i,

Hawai'i, making collection collection difficult for

they cite

them, and they citestatements statementsWong

Wonghas

hasmade

maderegarding

regardinghis

his"modest

"modestmeans."

means." Def.

Dei's's Mot.

Mot. Stay

Enforcement of Enforcement of Am.

Am. J. at 6;

J. at 6, Def.'s

Def.'s Reply to Pl.'s

Reply to Opp'n to

PI.'s Opp'n Def.'sMot.

to De£'s Mot.Stay

Stayatat 99 (Apr.

(Apr. 8,

8, 2025).

2025).

ORIG !NlA'

I

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CV0425-18 DECISION DECISION AND

AND ORDER

ORDER DENYING

DENYING MOTION

MOTION TO STAY Page4 Page

ENFORCEMENT OF THE AMENDED JUDGMENT WDGMENT

statements alone These statements alone are are not

not sufficient

sufficient to

to persuade the Court that Wong does not have the

financial ability abilityto

tosatisfy

satisfyother

otherjudgments

judgments against

against him.

Cyfred Cyfred and and Gill

Gill raise

raise additional

additional equitable

equitable considerations

considerations they believe the Court should

consider in granting this stay, such as unnecessary hardship to Cyfred, irreparable injury to hardship to

Cyfred, Cyfred, and execution impairing and execution impairing Cyfred's Cyfred's equities

equities ififthe

the amended judgment isis not amended judgment not stayed.

stayed. Def.

De£'s

Reply Reply to to P1.'s Opp'n to Def.'s Pl.'s Opp'n Def.'s Mot.

Mot. Stay

Stay at

at 9-10.

9-10. The

The Court,

Court, however,

however, bases

bases its determination on

the test adopted in Waathdaa'

Waathdad rather than looking to external external factors. Additionally, the Court factors. Additionally,

believes believes that the factors considered under the Waathdad Waathdad test

testsufficiently

sufficiently illustrate

illustrate that

that aa stay is

unwarranted. As As such,

such, the

the Court

Court denies

denies to

to use

use its

its discretion

discretion to

to permit of the amended permit a stay of

and DENIES judgment and DENIES Cyfred Cyfred and

and Gill's

Gill's motion.

B. The TheCourt

Courtrequires

requiresaacash,

cash, not

not real

real property,

property, supersedes

supersedeas bond

bond pending

pending appeal.

Under Under Guam Guam Rule of

ofCivil

CivilProcedure

Procedure 62(d),

62( d), "when

"whenan

an appeal

appeal is

is taken,

taken, the appellant by

giving a supersedeas bond may supersedes bond may obtain obtain a stay." Cyfred

Cyfred and Gill request that if the Court denies

their motion for a stay stay that

that the

the Court

Court accept

accept aa supersedeas bond equal supersedes bond equal to

to 125% of the value of

125% of of the

Amended Judgment Amended Judgment in in the

the form ofreal

form of real property. Def.'s Def. 's Mot.

Mot. Stay

Stay Enforcement

Enforcement of

ofAm. J. at

Am. J. at 8-9.

Abalonev.v.Cy/red,

They cite Abalos Cyfred, Ltd.

Ltd. where aa court permitted permitted the posting of

of real property worth

$50,000.00 $50,000.00 in lieu of ofposting

posting aa $38,000.00

$38,000.00 cash bond. CV0580-02, cash bond. CV0580-02, at

at 1I (Super.

(Super. Ct. Guam Aug.

12, 2009).

2009). Here, however, the Court finds a cash bond is appropriate. The amount appropriate. The amount of of the bond at

$200,619.74 is significantly higher than significantly higher than the the $38,000.00 in Abalos. Additionally, the Abalone. Additionally, the Court

believes Wong raises valid valid logistical

logistical concerns

concerns surrounding

surrounding the

the time

time and costs required

required to

to sell

sell real

real

property to generate property to generate the the requisite

requisitecash.

cash. Pl.'s

PL's Mem.

Men. in

in Opp'n to De£'s Stay

to Def.'s Stay Mot. 8-9. The Mot. at 8-9.

Court therefore therefore ORDERS ORDERS the production of a cash supersedes bond equal cash supersedeas equal to to the

thefull

full value of the

Amended Judgment.

ORIGINAL

CV0425-18 DECISION DECISION AND ORDER DENYING DENYING MOTION TO STAY Page 5 Page

ENFORCEMENT OF THE AMENDED JUDGMENT

II. 11. CONCLUSION AND ORDER

The Court refrains from from exercising its discretion to stay the Amended Judgment and

DENIES Cyfred and Gill's Additionally, the Gill's Motion. Additionally, the Court Court DENIES Cyfred and Gill's request

to post a real real property rather

rather than

than cash supersedeas

supersedes bond

bond upon

upon appeal

appeal of

ofthe

the Amended

Amended Judgment.

Judgment.

The Court Court requires Cyfred Cyfred and

and Gill

Gill post

post aa cash bond equal

equal to

to the

thefull

full value of the judgment

pursuant to Rule 62.

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SO ORDERED, SO 16 May ORDERED, 16 May 2025.

2025. /A,

HON ZE MTIRIARTE Judge,'sil§'é'1'i'6r§E'§i_t of Guam

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ORIGINAL