Free Motion for Bond - District Court of Colorado - Colorado

Case 1:00-cv-01282-JLK

Document 329

Filed 03/22/2006

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IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLORADO Judge John L. Kane Case No. 00-cv-1282-JLK THE PERSONNEL DEPARTMENT, INC., Plaintiff, v. PROFESSIONAL STAFF LEASING CORPORATION, a Maryland corporation, and BALA RAMAMOORTHY, an individual, Defendants.

P A N IFSMOTION TO REQUIRE DEFENDANTS L I TF ' TO INCREASE THE AMOUNT OF THEIR SUPERSEDEAS BOND

Plaintiff, The Personnel Department, Inc., moves the Court for an order requiring defendants, within ten days of order, to increase the amount of their supersedeas bond to $4,577,560 in order to continue a stay of execution of the judgments entered in this proceeding pending appeal. T iMo o tr et a ono t spr da bn im d pr ato h C ut h s t no e th m utfh ue ees ods ae us ntt s ors i s e e s u i ' Order dated September 8, 2005. The bond amount sought is the sum of the principal amount of the judgments, the costs taxed in plaintiff'f o, and post-judgment interest on these amounts sa r v for one year from the date of entry of the judgments at the statutory rate of 3.89%. Plaintiff reserves the right to seek a further increase in the bond amount for additional post-judgment interest, if for instance the appeal takes longer than one year. Pursuant to D.C.COLO.LCivR 7.1(A), counsel for plaintiff discussed the grounds for this

Case 1:00-cv-01282-JLK

Document 329

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motion and the relief requested with counsel for the defendants, by telephone conference, letter and email. Counsel for defendants reports that defendants do not oppose increasing their bond to $4,577,560, and do not object to plaintiff seeking to further increase the bond amount at a later date in the event that the appeal in this matter lasts longer than one year. Counsel for defendants did not provide a final response to that aspect of this Motion that seeks to require an additional bond within 10 days of order. As grounds for this Motion, plaintiff states: 1. On August 25, 2005, this Court entered judgments in favor of plaintiff against

defendants, jointly and severally, in the amount $4,382,182.00 plus post-judgment interest at the statutory rate. (Doc. ## 266, 267.) 2. On September 8, 2005, this Court stayed execution of the judgments under Fed.

R. Civ. P. 62(b) pni r o t n f e nat ps ed g e l i o df dn ' ot motions. (Doc. # 272.) This Court n s uo e s -trial conditioned the stay upon defendants posting bond in the amount of $4,382,182.00 on or before Sp m e1,05ad te t t nh eethte nat ps et br 620,n s t h , t vnt df dn ' ot motions were denied, e ad a i e a e s -trial the Court would determine a new amount for a supersedeas bond. (Id.) 3. On September 14, 2005, defendants posted bond in the amount of $4,382,182.00.

(Doc. #280.) On September 22, 2005, the court clerk taxed costs in favor of plaintiff in the amount of $24,047.85. (Doc. #284.) O N vm e920, iC utei df dn ' ot n oe br ,05t s ordn d e nat ps h e e s trial motions. (Doc. #297.) On December 8, 2005, defendants filed an appeal from the judgments entered against them in this proceeding. (Doc. #298.) Accordingly, pursuant to the C ut odr a d et br , ors redt Sp m e82005, the amount to be posted by defendants to obtain a stay of ' e e execution of the judgments pending appeal needs to be determined.

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4.

Post-judgment interest accrues on the principal amount of the judgments at the

statutory rate of 3.89% compounded annually from the date that the judgments were entered. See 28 U.S.C. § 1961; Bonjorno v. Kaiser Aluminum & Chemical Corp., 494 U.S. 827, 835 (1990). Post-judgment interest accrues on the costs awarded to plaintiff at the statutory rate of 3.89% compounded annually from the date that the costs were taxed by the court clerk. See 28 U.S.C. § 1961; Wheeler v. John Deere Co., 986 F.2d 413, 416 (10th Cir. 1993). 5. Plaintiff is entitled to be bonded for the amount of the judgments, its costs, and

estimated post-judgment interest in order for defendants to obtain a stay of execution of the judgments pending appeal. See Fed. R. Civ. P. 62(d); Poplar Grove Planting And Ref. Co., Inc. v. Bache Halsey Stuart, Inc., 600 F.2d 1189, 1191 (5th Cir. 1979); North River Ins. Co. v. Greater New York Mut. Ins. Co., 895 F. Supp. 83, 84 (E.D. Pa. 1995) ( hsithe normal " u, T n course, a stay should be granted if a supersedeas bond includes the amount of the judgment as well as post-judgment interest, and, if recoverable, counsel fees and costs." ) 6. Plaintiff requests that defendants be required to increase the amount of their

supersedeas bond to $4,577,560, representing the sum of the principal amount of the judgments ($4,382,182.00); t cs t e ip i i'f o o t j g et(2, 7 5; and posth ot a dn ln fsa r nh u m n $4 4. ) e sx a tf v e d s 0 8 judgment interest on these amounts at the statutory rate of 3.89% for one year ($260,369.30) from the date of judgment, with post-judgment interest on costs beginning to accrue on September 22, 2005. 7. The amount sought by plaintiff is reasonable. In fact, there is support for the

Court entering a much larger amount to cover post-judgment interest and costs. See D. Kans. Rule 62.2 (A supersedeas bond staying execution of a money judgment shall, unless the court

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otherwise directs, be in the amount of the judgment, plus 25% of that amount to cover interest and any award of damages for delay.); 18 LEONARD P. PLANK, ET. AL., COLORADO APPELLATE LAW AND PRACTICE § 7.5 (1999) ( A gnr rlo t m hs enht bn sol b a " ] ee lu fh b a be t a od hu e t [ a e u a d least one and one-quarter to one and one-half times the amount of the judgment to cover costs adn r tcri oet l g o t apltpoes ) Thus, defendants should be n i e sac n vrh e t fh pea rcs " te ug e nh e le .. required to post bond in the amount requested herein. WHEREFORE, plaintiff moves the Court to order defendants to increase the amount of their supersedeas bond to $4,577,560 within ten days to obtain a stay of execution of the judgments entered in this proceeding pending appeal. DATED: March 22, 2006 Respectfully submitted,

s/ Bruce A. Featherstone Bruce A. Featherstone Jayme N. Moss FEATHERSTONE DESISTO LLP 600 17th Street, Suite 2400 Denver, CO 80202 Telephone: (303) 626-7100 Facsimile: (303) 626-7101 E-mail: [email protected] Attorneys for Plaintiff The Personnel Department, Inc.

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Case 1:00-cv-01282-JLK

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CERTIFICATE OF SERVICE I hereby certify that on March 22, 2006, I electronically filed the foregoing P A N IFSMOTION TO REQUIRE DEFENDANTS TO INCREASE THE AMOUNT L I TF ' OF THEIR SUPERSEDEAS BOND with the Clerk of Court using the CM/ECF system, which will send notification of such filing to the following attorneys of record at the listed email addresses: Stanley H. Goldschmidt Stanley H. Goldschmidt, P.C. [email protected] Tamir Damari Stanley H. Goldschmidt, P.C. [email protected] Robert C. Troyer Hogan & Hartson L.L.P. 1200 17th Street, Suite 1500 Denver, CO 80202 [email protected]

s/ Bruce A. Featherstone Bruce A. Featherstone FEATHERSTONE DESISTO LLP 600 17th Street, Suite 2400 Denver, CO 80202 Telephone: (303) 626-7100 Facsimile: (303) 626-7101 E-mail: [email protected] Attorneys for Plaintiff The Personnel Department, Inc.

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