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ENTRY ORDER |
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2008 VT 66 |
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APPEALED FROM: |
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v. |
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Trial Judge: Dennis R. Pearson |
In the above-entitled cause, the Clerk will enter:
¶ 1. Defendant Ronald Russo appeals from the denial of his motion for relief from judgment. He asserts that the superior court erred when it upheld a ruling that allowed plaintiff Carroll Nelson to renew his aging judgment by motion instead of requiring a separate action on the judgment in accordance with 12 V.S.A. § 506. We reverse and remand.
¶ 2.
The underlying
facts are as follows. On
February 11, 1998, the Washington Superior
Court entered a default money judgment against defendant and in favor
of
plaintiff.[1] When defendant thereafter
failed to comply
with the judgment, plaintiff filed a motion to renew the judgment,
accompanied
by affidavit, on June 29, 2004. The
motion recognized the eight-year statute of limitations on judgments
and the
requirement that existing judgments must be renewed, if unsatisfied,
prior to
the running of the statute. Plaintiff
did not provide notice of the post-judgment motion to defendant, who at
the
time was residing in
¶ 3.
Subsequently, on
June 26, 2007, defendant filed a
motion for relief from judgment in superior court.
In his motion, defendant argued three bases
for relief under Vermont Rule of Civil Procedure 60(b).
First, pursuant to Rule 60(b)(4), he asserted
that plaintiff failed to properly renew the underlying judgment in
accordance
with 12 V.S.A. § 506, and that therefore the renewed
judgment was
void. Second,
pursuant to Rule 60(b)(5),
he asserted that the judgment was no longer equitable because it was
more than
eight years old and had not been properly renewed during the
limitations period. Finally,
pursuant to Rule 60(b)(6), he
requested that the court exercise its discretion to spare him the
hardship of
defending an expired
¶ 4. On appeal, defendant claims that the superior court committed reversible error by ignoring the statutory mandate in 12 V.S.A. § 506 that requires the filing of an independent action to renew a judgment and by finding that Rules 69 and 81 provide a sufficient basis for allowing renewal of judgments by motion. In addition, defendant contends that the issue of whether the eight-year statute of limitations period is tolled is not before the Court on this appeal.
¶ 5. The determination of whether the appropriate procedural method was employed to renew an unsatisfied judgment is legal in nature and, therefore, our review is de novo. Progressive Casualty Ins. Co. v. Keenan, 2007 VT 86, ¶ 6, ___ Vt. ___, 937 A.2d 630. As discussed below, we agree with defendant that 12 V.S.A. § 506 provides the appropriate procedure in this instance.
¶ 6.
Defendant's
primary argument on appeal is that 12
V.S.A. § 506 requires a party to file an independent action to
renew a
judgment. The
statute states, in its
entirety, that "[a]ctions on judgments and actions for the renewal or
revival
of judgments shall be brought within eight years after the rendition of
the
judgment, and not after." 12
V.S.A.
§ 506. We
agree with defendant that the
statute intended an action to be a new and independent suit commenced
in
accordance with Rule 3. See
V.R.C.P. 3
(providing the requirements for commencing a civil action); see also Koerber,
136
¶ 7.
Prior decisions
have recognized the use of an action,
in accordance with 12 V.S.A. § 506, as an allowable method for
renewing a
judgment. In Koerber,
we noted
that a "judgment creditor can start the limitation period anew by
bringing
an action upon the judgment" within the limitations period. 136
¶ 8. Contrary to defendant's argument that an action is required to renew a judgment, plaintiff claims that Rules 69 and 81 provide a sufficient basis to extend a judgment by motion. Plaintiff's claim is unfounded. Rule 69 states in part:
Process to enforce a judgment for the payment of money shall be a writ of execution, unless the court directs otherwise. . . . Actions or motions to renew or revive judgments shall not be a prerequisite to issuance of a writ of execution as long as the eight-year [statute of limitations] period has not expired.
V.R.C.P.
69.
Plaintiff asserts that this language clearly and
affirmatively allows
for judgments to be renewed by either an action or a motion. We disagree with
plaintiff's assertion. When
construing and administering rules of
civil procedure, we must do so liberally, in a way that
" 'secure[s]
the just, speedy, and inexpensive determination of every
action.' " Price
v. Leland, 149
¶ 9.
Plaintiff's
argument with respect to Rule 81—that three
separate provisions in the Rule affirm the practice of renewing a
judgment by
motion—is similarly unconvincing.
First,
plaintiff cites to Rule 81(b), which abolishes the writ of scire facias
and
certain other writs and provides that "[a]ny other relief heretofore
available by any of such writs may be obtained by appropriate action or
motion
under the practice prescribed by these rules."
V.R.C.P. 81(b). This
provision, however, fails to support the
practice utilized by plaintiff in this case because the Rules do not
prescribe
a practice for renewing judgments beyond the mere allusion in Rule 69
discussed
above. Next,
plaintiff relies on Rule
81(c), which requires that when statutory language is inconsistent with
the
Rules, the conflicting terminology "shall be taken to mean the device
or
procedure proper under these rules."
V.R.C.P. 81(c). Again,
plaintiff's
reliance is misplaced due to the absence of a proper procedure in the
Rules. Finally,
plaintiff turns to Rule
81(d), which provides that, in the absence of a specific procedure, a
"court
shall proceed in any lawful manner not inconsistent with the
Constitution of
the State of
¶ 10.
Two additional
considerations support our conclusion in
favor of requiring an action to renew an unsatisfied judgment. First, we have recognized
on numerous
occasions that notice and an opportunity to be heard are indispensable
to the
provision of due process. See
Rich v.
¶ 11.
In addition to
providing increased constitutional
protections, the use of an action to renew a judgment is consistent
with the
2007 amendment to 12 V.S.A. § 2681(b).
The
amendment provides that "[a]ctions to renew small claims court
judgments
shall be brought by filing a complaint in small claims court prior to
the
expiration of the judgment . . ." 12 V.S.A.
§ 2681(b). We
find unconvincing plaintiff's contention
that, by omitting a similar requirement for an action to renew superior
court
judgments, the Legislature intended to allow renewal by action or
motion at the
superior court level. See
Oxx v. Dep't
of Taxes, 159
¶ 12. Although we decide, for the purpose of the present matter, that our common law requires the filing of an independent action to renew a superior court judgment, we recognize that neither the Vermont Rules of Civil Procedure nor any statute directly addresses the proper procedure for the renewal of such judgments in Vermont. Given the confusing reference in Rule 69 to the use of a motion to renew a judgment, we refer the question of whether a specific procedural rule should be created to the Advisory Committee on the Rules of Civil Procedure.
¶ 13. On a final note, we agree with defendant that the issue of tolling is not before the Court on this appeal. We therefore leave determination of whether the eight-year statute of limitations period on the original judgment has expired to the superior court.
Reversed and remanded for further proceedings consistent with the views expressed herein.
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BY THE COURT: |
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Paul L. Reiber, Chief Justice |
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John A. Dooley, Associate Justice |
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Denise R. Johnson, Associate Justice |
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Marilyn S. Skoglund, Associate Justice |
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Brian L. Burgess, Associate Justice |
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[1]
The superior court
entered the default
judgment after defendant directed his attorney to withdraw and then
failed to
hire a new attorney or to notify the court that he intended to appear
pro se
despite having received final notice from the court requesting such
action.
[2]
Four days later, on
August 23, 2004, the
superior court entered a separate renewed judgment in which it detailed
the
updated amounts due to plaintiff.