Free Order - District Court of Arizona - Arizona

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF ARIZONA

ROBERT REICHERT, an individual,

) ) Plaintiff/Appellee, ) ) vs. ) ) NATIONAL CREDIT SYSTEMS, INC., a ) foreign corporation doing business in ) Arizona, JIM NORTH, an individual, and ) FAYE MILES, an individual, JANE DOES ) I-V, JOHN DOES I-V, XYZ ) CORPORATIONS I-V, ) ) Defendants/Appellants. ) ____________________________________ )

District Court No. CV 03-1740-PHX-RGS ORDER APPROVING STAY ON CASH DEPOSIT IN LIEU OF SUPERSEDEAS BOND

On February 24, 2006, Defendants/Appellants NATIONAL CREDIT SYSTEMS, INC., JIM NORTH and FAYE MILES appealed a judgment entered on February 2, 2006. Under the provisions of Rule 62 of the Federal Rules of Civil Procedure the parties have stipulated that defendants and appellants National Credit Systems, Inc., Jim North and Faye Miles, may deposit cash in the sum of $15,000 with the Clerk of this Court in lieu of supersedeas bond. Further the parties stipulated that by making a deposit with the Clerk of this Court as described in this Order, defendants and appellants National Credit Systems, Inc., Jim North and Faye Miles have expressly agreed, on the record, that all sums deposited by them together with any interest earned on that deposit, may be paid to the remaining parties in this action for any sums due under the judgment on appeal in the event that the judgment is not reversed and set aside completely. The parties further stipulated and agreed that the remaining parties to this action may collect from the amounts deposited, and any interest Case 2:03-cv-01740-RGS Document 84 Filed 04/13/2006 Page 1 of 3

earned on the deposit, by means of filing a post-appeal motion in this Court and by giving the Clerk of this Court notice of the motion. Defendants and appellants further agreed that if the Clerk of Court promptly mails a notice to Defendants/Appellants at the following address, no other notice will be required: Mark D. Fullerton, Esq. Martin Hart & Fullerton 1839 S. Alma School Rd. Suite 354 Mesa, Arizona 85210 Having duly considered the matter, and the stipulation of the parties concerning the disposition of any deposit, the Court is of the opinion that a cash deposit in lieu of a bond is authorized by Section 9303 of Title 31 of the United States Code, and this Court finds that the sum of $15,000 is sufficient to provide adequate security and protection for the parties opposing the appeal. Therefore, IT IS ORDERED that: 1. A cash deposit with the Clerk of court in the sum of $15,000 is approved in

lieu of and instead of the supersedeas bond mentioned in Rule 62(d) of the Federal Rules of Civil Procedure. 2. On the deposit of this sum, any proceedings to enforce the judgment entered

on this action on February 2, 2006 are stayed pending the determination of the defendants and appellants National Credit Systems, Inc., Jim North and Faye Miles appeal from this judgment. 3. During the appeal, the Clerk of this Court will redeposit the sum received

from defendants and appellants National Credit Systems, Inc., Jim North and Faye Miles in an interest bearing account, and the interest generated by the deposit will serve as additional security for those opposing the appeal.

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4.

Any party other than the defendants and appellants National Credit Systems,

Inc., Jim North and Faye Miles may, following the appeal, collect any monies owed under the terms of the judgment, or the judgment as modified on appeal, from the amount deposited by the defendants and appellants National Credit Systems, Inc., Jim North and Faye Miles if the defendants and appellants do not otherwise pay the judgment promptly. Collection may be by the means of a motion, with notice served on the Clerk of this Court. The Clerk of the Court will forward the Notice of Motion to defendants and appellants National Credit Systems, Inc., Jim North and Faye Miles at the address listed in this Order. No other notice of any motion to collect on the judgment from the amount deposited will be required. 5. If, following the dismissal of the appeal, the judgment is reversed, or if

defendants and appellants National Credit Systems, Inc., Jim North and Faye Miles fully satisfy and obtain a satisfaction of judgment from the parties to this action, the sums deposited, together with any interest earned, may be returned to defendants and appellants National Credit Systems, Inc., Jim North and Faye Miles.

DATED this 12th day of April, 2006.

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