v.
Clifford Homes, LLC
ACCEPTED 03-15-00393-CV 5933580 THIRD COURT OF APPEALS AUSTIN, TEXAS 7/6/2015 7:18:43 AM JEFFREY D. KYLE CLERK
No. 03-15-00393-CV __________________________________________________________________ FILED IN 3rd COURT OF APPEALS IN THE THIRD COURT OF APPEALS OF TEXAS AUSTIN, TEXAS 7/6/2015 7:18:43 AM __________________________________________________________________ JEFFREY D. KYLE Clerk MARY DECKER AND/OR ALL OTHER OCCUPANTS OF 1607 MAIN STREET, CEDAR PARK, TEXAS 78613,
Appellants, v. CLIFFORD HOMES, LLC, Appellee. __________________________________________________________________ ON APPEAL FROM THE COUNTY COURT AT LAW, WILLIAMSON COUNTY, TEXAS TRIAL COURT CAUSE NO. 15-0508-CC4 __________________________________________________________________ APPELLEE’S RESPONSE TO EMERGENCY MOTION FOR STAY OF WRIT __________________________________________________________________
Dr. J. Hyde Texas Bar No. 24027083 THE J. HYDE LAW OFFICE, PLLC 111 E. 17th Street #12015 Austin, TX 78711 Telephone: (512) 200-4080 Fax: (512) 582-8295 E-mail: [email protected]
Counsel for Appellee
No. 03-15-00393-CV __________________________________________________________________
IN THE THIRD COURT OF APPEALS OF TEXAS __________________________________________________________________
MARY DECKER AND/OR ALL OTHER OCCUPANTS OF 1607 MAIN STREET, CEDAR PARK, TEXAS 78613, Appellants, v. CLIFFORD HOMES, LLC, Appellee. __________________________________________________________________ ON APPEAL FROM THE COUNTY COURT AT LAW, WILLIAMSON COUNTY, TEXAS TRIAL COURT CAUSE NO. 15-0508-CC4 __________________________________________________________________ APPELLEE’S RESPONSE TO EMERGENCY MOTION FOR STAY OF WRIT __________________________________________________________________ TO THE HONORABLE THIRD COURT OF APPEALS:
Appellee Clifford Homes, LLC, by and through undersigned counsel, respectfully responds to the Emergency Motion for Stay of Writ (“Motion”) filed by Appellant Mary Decker, and in support thereof states as follows:
INTRODUCTION before the Motion was filed. Decker’s request is moot, and the stay issued by this Court on 2 July 2015 should be lifted.
[*2]BACKGROUND AND ARGUMENT undersigned reiterated the importance of a speedy ruling in light of the Property Code’s strict deadline for superseding eviction judgments. (See id.).
[*3][*4]eviction suits like the one at issue, in setting the bond “the county court shall provide protection for the appellee to the same extent as in any other appeal, taking into consideration the value of rents likely to accrue during appeal, damages which may occur as a result of the stay during appeal, and other damages or amounts as the court may deem appropriate.” TEX. PROP. CODE § 24.007(a); see also TEX. R. APP. P. 24.2(a)(2) (requiring that the amount of security to suspend enforcement of judgments “for the recovery of an interest in real or personal property” be at least “the value of the property interest’s rent or revenue”).
[*5][*6]while prosecuting a frivolous appeal without depositing the requisite security as ordered by the trial court.
[*7]CERTIFICATE OF SERVICE
I hereby certify that, pursuant to Texas Rule of Appellate Procedure 9.5 and Local Rule 4(d), a copy of Appellee’s Response to Emergency Motion for Stay of Writ was served on this 6th day of July, 2015, via e-service, upon the following: David Rogers 1201 Spyglass, Suite 100 Austin, TX 78746
/s/ J. Hyde ______________________________ Dr. J. Hyde EXHIBIT 1 Response to Bond Application
[*8]Filed: 6/29/2015 10:50:33 AM Nancy E. Rister, County Clerk Williamson County, Texas By: Regina Cockrell, Deputy Clerk
CAUSE NO. 15-0508-CC4 CLIFFORD HOMES, LLC, § IN THE COUNTY COURT AT LAW § Plaintiff, § § v. § § MARY DECKER, § NUMBER 4 CHRISTOPHER DECKER, and/or § ALL OTHER OCCUPANTS OF § 1607 MAIN STREET, § CEDAR PARK, TEXAS 78613, § § Defendants. § WILLIAMSON COUNTY, TEXAS
PLAINTIFF’S RESPONSE TO DEFENDANT’S MOTION FOR BOND APPLICATION AND EMERGENCY MOTION TO STAY WRIT OF POSSESSION UNTIL BOND IS SET TO THE HONORABLE JUDGE OF SAID COURT:
Plaintiff CLIFFORD HOMES, LLC, by and through undersigned counsel, respectfully responds to Defendant’s Motion for Bond Application and Motion to Stay Writ of Possession (“Motion”), and in support thereof states as follows:
INTRODUCTION
This is a post-foreclosure forcible detainer action. Eleven months ago, Plaintiff Clifford Homes purchased the subject property at the August 2014 Williamson County foreclosure auction. Following Defendant-induced delays in the eviction proceedings in the Justice Court that necessitated mandamus relief, this Court signed a final judgment granting Clifford Homes immediate possession of the Property, and Decker has appealed. Now, after eleven months of living rent- and mortgage-free, Defendant Decker requests that the Court set a supersedeas bond in the nominal amount of $500.00, summarily asserting that her net worth is -$88,040.66. In making this request, Decker cites inapplicable authority that relates only to money judgments, makes unsupported assertions about her net worth, provides no information about her monthly income, and simply provides no support for the amount requested. As demonstrated below, the Court should set the amount of the security necessary to supersede the judgment at $31,365.00, which properly takes into account the reasonable rental value of the Property as required by applicable law.
BACKGROUND
1. On 23 June 2015, the Court granted Clifford Homes’ motion for summary judgment and rendered a final judgment awarding Clifford Homes immediate possession of the real property located at 1607 Main Street, Cedar Park, Texas 78613. (See Ex. A to Decker’s Motion).
2. Clifford Homes had purchased the Property at the 5 August 2014 foreclosure sale in Williamson County and initially filed the underlying forcible detainer action in Justice Court seeking immediate possession of the Property on 7 October 2014. The Justice Court rendered a final judgment in Decker’s favor on 2 April 2015, leading to Clifford Homes’ appeal and this Court’s summary judgment on June 23.
3. The case had remained pending for an extended period in the Justice Court because that court erroneously abated the case pending the outcome of a separate suit that Decker filed in Williamson County District Court (the “Title Suit”) challenging the validity of the foreclosure sale. This forced Clifford Homes to file a petition for writ of mandamus, which this Court granted. (See Exs. [7] & 8 to Clifford Homes’ Traditional Motion for Summary Judgment).
4. Decker has timely filed a notice of appeal from this Court’s final judgment.
5. In her Motion to set the bond, Decker asserts that undersigned counsel “has stated that there is no amount of bond that his client would accept.” (Motion, at n.3). Quite simply, that assertion is false. The undersigned has never made that or any similar statement, which would be nonsensical and in contravention of the statutes and rules governing supersedeas bonds. What the undersigned has stated to opposing counsel is that his client would not accept a security amount that does not take into account the rental value of the Property while the appeal is pending. That statement is consistent with the arguments made herein and, more importantly, with applicable law.
ARGUMENT
6. Suspension of enforcement of eviction judgments is governed by Texas Rule of Appellate Procedure 24 and Texas Property Code section 24.007. Rule 24.1 allows a debtor to suspend enforcement of a judgment by, inter alia, filing “a good and sufficient bond” or “making a deposit with the trial court clerk in lieu of a bond.” TEX. R. APP. P. 24.1(a)(2), (3). However, “[w]hen the judgment is for the recovery of an interest in real or personal property, the trial court will determine the type of security that the judgment debtor must post.” TEX. R. APP. P. 24.2(a)(2). Rule 24 further allows the trial court to “make any order necessary to adequately protect the judgment creditor against loss or damage that the appeal might cause.” TEX. R. APP. P. 24.1(e).
7. Importantly, section 24.007, which expressly governs forcible-detainer appeals and which Decker conveniently failed to cite in her Motion, requires that any security be posted “within 10 days of the signing of the judgment” and that it “provide protection for the appellee to the same extent as in any other appeal, taking into consideration the value of rents likely to accrue during appeal, damages which may occur as a result of the stay during appeal, and other damages or amounts as the court may deem appropriate.” TEX. PROP. CODE § 24.007(a).
8. Decker cites Civil Practice and Remedies Code section 52.006 and Rule of Appellate Procedure 24.2(a)(1) to argue that the amount of security may not exceed 50 percent of her net worth. Those provisions, however, expressly apply only to money judgments. TEX. CIV. PRAC. & REM. CODE § 52.006(b) (“[W]hen a judgment is for money, the amount of security must not exceed … 50 percent of the judgment debtor’s net worth[.]”); TEX. R. APP. P. 24.2(a)(1) (“When the judgment is for money, the amount of the bond … must not exceed … 50 percent of the judgment debtor’s current net worth[.]”). By contrast, Property Code section 24.007, cited above, applies to forcible detainer judgments. Consistent with that provision, Rule 24.2(a)(2) applies to judgments “for the recovery of an interest in real or personal property” and states that the amount of the security “must be at least … the value of the property interest’s rent or revenue.” TEX. R. APP. P. 24.2(a)(2) (emphasis added). Unlike with money judgments, the amount of security for a judgment for an interest in real property is not capped by the judgment debtor’s net worth.
Appeals regarding eight recently concluded appeals of post-foreclosure forcible-detainer judgments shows that these appeals were pending for an average of 17 months (from date of filing notice of appeal to date of mandate). The spreadsheet attached hereto as Exhibit 3 summarizes the information underlying this fact, which may be judicially noticed. TEX. R. EVID. 201(b) (“The court may judicially notice a fact that is not subject to reasonable dispute because it … can be accurately and readily determined from sources whose accuracy cannot reasonably be questioned.”).2 should have been a speedy and inexpensive route to possession has become a lengthy and expensive one. Clifford Homes has owned the Property for almost a year and has been responsible for the burdens of ownership—such as purchase price (which was paid in full at the foreclosure sale), property insurance, and taxes—but has been deprived of all the benefits with no meaningful way to recover for that lost time. Conversely, Decker has had the benefit of possession all this time even though she no longer owns the Property, is no longer paying for it, and has no right to occupy it. To allow this state of affairs to continue for an additional 17 (basically rent-free) months is far from equitable.
or county courts of jurisdiction to resolve the question of immediate possession.” Wilder v. Citicorp Trust Bank, F.S.B., No. 03-13-00324-CV, 2014 WL 1207979 (Tex. App.— Austin Mar. 18, 2014, pet. dism’d w.o.j.) (mem. op.); see also, e.g., Killebrew v. BKE Investments, Inc., No. 03-13-00149-CV, 2014 WL 3055984 (Tex. App.—Austin June 30, 2014, no pet.) (mem. op.) (same); Jaimes v. Fed. Nat. Mortgage Ass’n, No. 03-13-00290- CV, 2013 WL 7809741 (Tex. App.—Austin Dec. [4], 2013, no pet.) (mem. op.) (same); Reardean v. Fed. Home Loan Mortg. Corp., No. 03-12-00562-CV, 2013 WL 4487523 (Tex. App.—Austin Aug. [14], 2013, no pet.) (same); Rodriguez v. CitiMortgage, Inc., No. 03-10-00093-CV, 2011 WL 182122 (Tex. App.—Austin Jan. [6], 2011, no pet.) (mem. op.) (same).
writ of possession may be issued on 7 July 2015 if Decker has not yet posted supersedeas in an amount set by the court.
[*9]CERTIFICATE OF SERVICE
I hereby certify that, in accordance with Rule 21a of the Texas Rules of Civil Procedure, on this 29th day of June, 2015, a true and correct copy of the foregoing has been served upon all parties of record via e-service or facsimile: David Rogers 1201 Spyglass, Suite 100 Austin, Texas 78746 Fax: (512) 201-4082
/s/ J. Hyde ________________________________ Dr. J. Hyde CAUSE NO. 15-0508-CC4 CLIFFORD HOMES, LLC, § IN THE COUNTY COURT AT LAW § Plaintiff, § § v. § § MARY DECKER, § NUMBER 4 CHRISTOPHER DECKER, and/or § ALL OTHER OCCUPANTS OF § 1607 MAIN STREET, § CEDAR PARK, TEXAS 78613, § § Defendants. § WILLIAMSON COUNTY, TEXAS
[*10]ORDER ON DEFENDANT MARY DECKER’S MOTION FOR BOND APPLICATION AND EMERGENCY MOTION TO STAY WRIT OF POSSESSION UNTIL BOND IS SET
The Court rendered a final judgment of immediate possession in this action in favor of Plaintiff on 23 June 2015. Before the Court are Defendant’s Motion for Bond Application and Motion to Stay Writ of Possession Until Bond Is Set. Having reviewed the parties’ arguments and evidence, and being fully advised, the Court finds that, pursuant to TEX. PROP. CODE § 24.007 and TEX. R. APP. P. 24.2(a)(2), the amount of security that Defendant must post to stay the final judgment in this action pending appeal is $31,365.00.
IT IS THEREFORE ORDERED that, pursuant to TEX. PROP. CODE § 24.007(a), Defendant must deposit $31,365.00 in cash into the registry of the Court no later than the close of business on Monday, 6 July 2015, in order to suspend enforcement of the above- referenced judgment.
IT IS FURTHER ORDERED that Defendant’s Motion to Stay Writ of Possession Until Bond Is Set is DISMISSED AS MOOT.
Signed this _______ day of ______________, 2015
_________________________________ Honorable Judge Presiding EXHIBIT 1 Affidavit of Ken Ward
[*18]Days On Market
C D OM
[*42][*94]MLS#
[*800]MLS#