Harris v. Smith-Harris ( 2021 )


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  •                      NOTICE: NOT FOR OFFICIAL PUBLICATION.
    UNDER ARIZONA RULE OF THE SUPREME COURT 111(c), THIS DECISION IS NOT PRECEDENTIAL
    AND MAY BE CITED ONLY AS AUTHORIZED BY RULE.
    IN THE
    ARIZONA COURT OF APPEALS
    DIVISION ONE
    In re the Matter of:
    PERRY HARRIS, Petitioner/Appellee,
    v.
    ANITA ELAINE SMITH-HARRIS, Respondent/Appellant.
    No. 1 CA-CV 20-0275 FC
    FILED 6-24-2021
    Appeal from the Superior Court in Maricopa County
    No. FN2015-003563
    The Honorable David W. Garbarino, Judge Pro Tempore
    AFFIRMED
    COUNSEL
    Anita E. Smith-Harris, Phoenix
    Respondent/Appellant
    HARRIS v. SMITH-HARRIS
    Decision of the Court
    MEMORANDUM DECISION
    Judge Samuel A. Thumma delivered the decision of the Court, in which
    Presiding Judge Kent E. Cattani and Judge Brian Y. Furuya joined.
    ¶1             In this post-decree appeal, Anita Smith-Harris claims that a
    June 2019 judgment for $1,980 in attorneys’ fees violated an automatic
    bankruptcy stay and was void. But even assuming an automatic stay could
    preclude such a judgment, because the superior court validated that
    judgment after the automatic stay expired, and because Smith-Harris
    acknowledged that the stay was not in place when garnishment orders
    issued to satisfy the judgment, those orders are affirmed.
    FACTS AND PROCEDURAL HISTORY1
    ¶2            In January 2017, the court entered the decree of dissolution
    ending the marriage of Smith-Harris and Perry Harris. In May 2018,
    Michael Rizzo was appointed to sell some of the community’s real property.
    The court ordered Smith-Harris to reimburse Rizzo for the cost of moving
    items from the property to a storage unit. The court then rejected Smith-
    Harris’ claims that Rizzo acted improperly and granted Rizzo’s request for
    attorneys’ fees. The specific timing of certain events that followed resolves
    the argument Smith-Harris makes on appeal.
    ¶3           On May 29, 2019, after Rizzo applied for $1,980 in fees, Smith-
    Harris filed a Chapter 13 bankruptcy petition.2 On May 31, 2019, the
    superior court signed a judgment awarding Rizzo $1,980 in fees. Later on
    May 31, 2019, Smith-Harris filed a notice of her May 29, 2019 bankruptcy
    petition. On June 3, 2019, the superior court clerk entered the $1,980
    judgment.
    1 No answering brief was filed. This court could treat that silence as a
    confession of error but declines to do so and rules on the merits. Gibbons v.
    Indus. Comm’n, 
    197 Ariz. 108
    , 111 ¶ 8 (App. 1999).
    2 Smith-Harris strategically filed for bankruptcy at various times during this
    proceeding, with the record suggesting the May 29, 2019 petition may have
    been her fifth bankruptcy petition.
    2
    HARRIS v. SMITH-HARRIS
    Decision of the Court
    ¶4            The bankruptcy court then dismissed Smith-Harris’ May 29,
    2019 bankruptcy petition. Although Smith-Harris sought to reinstate her
    bankruptcy case, on August 6, 2019, the bankruptcy court denied that
    request, finding there was no automatic stay in place from July 8, 2019 to
    early August 2019.
    ¶5            Meanwhile, Smith-Harris moved to vacate the fee judgment.
    On July 9, 2019, the superior court denied that motion, thereby validating
    the fee judgment at a time when no bankruptcy stay was in place. Smith-
    Harris filed a notice of appeal from the fee judgment (CV 19-0571 FC), but
    that appeal was dismissed when she failed to comply with procedural
    requirements.
    ¶6            Rizzo sought writs of garnishment against Smith-Harris’
    employer and a bank to satisfy the fee judgment. After some delay caused
    by Smith-Harris’ unsuccessful appeal in CV 19-0571 FC, the superior court
    overruled Smith-Harris’ garnishment-based objections and issued an order
    of earnings garnishment directed to her employer. In early March 2020,
    Smith-Harris moved to quash the garnishment order, claiming the fee
    judgment was void given her May 29, 2019 bankruptcy petition. The court
    denied that motion, noting Smith-Harris “admits in the Motion [to quash]
    that the [automatic bankruptcy] stay is not in effect, and was not in effect at
    the time of the garnishment.” By the end of March 2020, the garnishment
    judgment was satisfied, and the court issued an order discharging the
    garnishee.
    ¶7            This court has jurisdiction over Smith-Harris’ timely appeal
    from the denial of her motion to quash the garnishment order pursuant to
    Article 6, Section 9, of the Arizona Constitution and Arizona Revised
    Statutes (A.R.S.) sections 12-120.21(A)(1) and -2101(A)(1)(2021).3
    DISCUSSION
    ¶8             Smith-Harris argues the superior court lacked jurisdiction to
    enter the fee judgment, given the pendency of her May 29, 2019 bankruptcy
    petition and the automatic stay, making that judgment void and also
    voiding the garnishment proceedings that followed. This court reviews a
    challenge to the superior court’s jurisdiction de novo. Samaritan Health Sys.
    v. Ariz. Health Care Cost Containment Sys. Admin., 
    198 Ariz. 533
    , 536 ¶ 13
    (App. 2000).
    3Absent material revisions after the relevant dates, statutes and rules cited
    refer to the current version unless otherwise indicated.
    3
    HARRIS v. SMITH-HARRIS
    Decision of the Court
    ¶9             Smith-Harris’ brief on appeal does not comply with this
    court’s procedural requirements, meaning she has waived her argument on
    appeal. See, e.g., MacMillan v. Schwartz, 
    226 Ariz. 584
    , 591 ¶ 33 (App. 2011)
    (“Merely mentioning an argument in an appellate opening brief is
    insufficient.”); Ace Auto. Prods., Inc. v. Van Duyne, 
    156 Ariz. 140
    , 143 (App.
    1987); ARCAP 13(a). Moreover, Smith-Harris’ arguments do not establish a
    basis for relief.
    ¶10           “[A] judgment entered in violation of the automatic stay
    provisions of the Bankruptcy Code is void as to the debtor in bankruptcy.”
    Great Sw. Fire Ins. Co. v. Triple “I” Ins. Servs., Inc., 
    151 Ariz. 283
    , 286 (1986).
    Presuming an automatic stay was in place that applied to the June 3, 2019
    judgment, without more, such a stay would have precluded entry of that
    judgment. But here, there is more.
    ¶11           On July 9, 2019, at a time when no bankruptcy stay was in
    place, the superior court denied Smith-Harris’ motion to vacate the fee
    judgment, thereby validating the fee judgment. That action, taken at a time
    when no stay was in place, negates any argument that the requirement
    Smith-Harris pay Rizzo $1,980 in fees was void. Moreover, in March 2020,
    when Smith-Harris challenged the writ of garnishment, she conceded that
    no stay was in place at that time. Because (1) the requirement that Smith-
    Harris pay Rizzo $1,980 was validated when no bankruptcy stay was in
    place and (2) the writ of garnishment was issued when no bankruptcy stay
    was in place, Smith-Harris has failed to show those orders were void. Nor
    has she shown any other error.
    CONCLUSION
    ¶12           Because Smith-Harris has shown no error, the garnishment
    orders are affirmed.
    AMY M. WOOD • Clerk of the Court
    FILED: AA
    4
    

Document Info

Docket Number: 1 CA-CV 20-0275-FC

Filed Date: 6/24/2021

Precedential Status: Non-Precedential

Modified Date: 6/24/2021