In re Marriage of January , 446 P.3d 954 ( 2019 )


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  •      The summaries of the Colorado Court of Appeals published opinions
    constitute no part of the opinion of the division but have been prepared by
    the division for the convenience of the reader. The summaries may not be
    cited or relied upon as they are not the official language of the division.
    Any discrepancy between the language in the summary and in the opinion
    should be resolved in favor of the language in the opinion.
    SUMMARY
    June 13, 2019
    2019COA87
    No. 17CA2416, In re Marriage of January — Civil Procedure —
    Remedial and Punitive Sanctions for Contempt; Attorney Fees;
    Appeals — Final Appealable Order
    The case addresses whether an order imposing remedial
    sanctions is final and, therefore, appealable if the lower court has
    not yet determined the amount of attorney fees awardable as part of
    the sanction. A division of the court of appeals concludes that such
    an order is not final, siding with the line of authority holding that
    “reasonable attorney’s fees in connection with the contempt
    proceeding” are a component of remedial sanctions under C.R.C.P.
    107(d)(2). In reaching this conclusion, the division respectfully
    disagrees with Madison Capital Co. v. Star Acquisition VIII, 
    214 P.3d 557
    (Colo. App. 2009).
    COLORADO COURT OF APPEALS                                       2019COA87
    Court of Appeals No. 17CA2416
    Douglas County District Court No. 13DR30291
    Honorable Alex J. Martinez, Judge
    In re the Marriage of
    Tiffany Rose January,
    Appellee,
    and
    Jeffrey Forrest January,
    Appellant.
    APPEAL DISMISSED
    Division IV
    Opinion by JUDGE LIPINSKY
    Román and J. Jones, JJ., concur
    Announced June 13, 2019
    Epstein Patierno LLP, Courtney J. Allen, Denver, Colorado, for Appellee
    The Locke Law Firm PC, Teresa D. Locke, Denver, Colorado, for Appellant
    ¶1    Following the entry of final orders in her dissolution of
    marriage case, Tiffany Rose January (mother) sought remedial
    sanctions against Jeffrey Forrest January (father) for, among other
    things, not paying his share of their daughter’s tutoring expenses.
    The magistrate found father in remedial contempt and imposed
    sanctions consisting of the tutoring expenses and mother’s attorney
    fees incurred in connection with the contempt proceeding. Father
    objected to the amount of attorney fees awarded to mother. The
    magistrate has yet to rule on the objection.
    ¶2    The district court agreed with and adopted the magistrate’s
    order awarding the tutoring expenses to mother. Father appeals
    the district court’s ruling.
    ¶3    In light of the procedural posture of father’s appeal, we
    consider whether a contempt order is final and appealable during
    the pendency of an objection to the amount of attorney fees ordered
    “in connection with” the remedial contempt sanction. Because we
    conclude the answer is no, we dismiss father’s appeal, without
    prejudice.
    ¶4    In doing so, we respectfully disagree with the holding in
    Madison Capital Co. v. Star Acquisition VIII, 
    214 P.3d 557
    , 560 (Colo.
    
    1 Ohio App. 2009
    ), and side with the line of authority holding that
    “reasonable attorney’s fees in connection with the contempt
    proceeding” are a component of remedial sanctions under C.R.C.P.
    107(d)(2). See People v. Shell, 
    148 P.3d 162
    , 178 (Colo. 2006);
    Aspen Springs Metro. Dist. v. Keno, 
    2015 COA 97
    , ¶ 34, 
    369 P.3d 716
    , 724; In re Marriage of Webb, 
    284 P.3d 107
    , 109 (Colo. App.
    2011); In re Lopez, 
    109 P.3d 1021
    , 1024 (Colo. App. 2004); Eichhorn
    v. Kelley, 
    56 P.3d 124
    , 126 (Colo. App. 2002); Sec. Inv’r Prot. Corp.
    v. First Entm’t Holding Corp., 
    36 P.3d 175
    , 178 (Colo. App. 2001); In
    re Marriage of Nussbeck, 
    949 P.2d 73
    , 75 (Colo. App. 1997), rev’d on
    other grounds, 
    974 P.2d 493
    (Colo. 1999).
    I. Background
    ¶5    The permanent orders, as relevant to this appeal, require the
    parties to share the tutoring expenses in proportion to their
    incomes. After father refused to pay his share of the daughter’s
    fifth grade tutoring costs, mother moved under C.R.C.P. 107 for
    remedial contempt sanctions in the form of the tutoring expenses
    and the attorney fees she incurred in obtaining the sanctions. See
    C.R.C.P. 107(d)(2) (“In all cases of indirect contempt where remedial
    sanctions are sought, the nature of the sanctions and remedies that
    2
    may be imposed shall be described in the motion or citation.”). The
    parties agree that the attorney fees “are based on the contempt, and
    [father’s] ability to pay the purge of the contempt.”
    ¶6    Following an evidentiary hearing, the magistrate found father
    in contempt. As a remedial sanction, the magistrate entered a
    judgment against father in the amount of $1,530 for his unpaid
    share of the daughter’s tutoring expenses and $11,630 in attorney
    fees to mother. See C.R.C.P. 107(d)(2) (providing that a court may
    assess “[c]osts and reasonable attorney’s fees in connection with [a]
    contempt proceeding . . . in the discretion of the court”). The
    magistrate gave father an opportunity to challenge the
    reasonableness of mother’s attorney fees.
    ¶7    Father objected to the award of attorney fees and requested a
    hearing under C.R.C.P. 121, section 1-22(2)(c). See Roberts v.
    Adams, 
    47 P.3d 690
    , 700 (Colo. App. 2001) (notwithstanding the
    discretionary language in C.R.C.P. 121, section 1-22(2)(c), a party
    who requests a timely hearing on the reasonableness of attorney
    fees is entitled to a hearing). The magistrate has not yet set a
    hearing or ruled on father’s objection.
    3
    ¶8     Meanwhile, father petitioned for district court review of the
    magistrate’s contempt order. The district court adopted the
    magistrate’s order awarding the tutoring expenses to mother.
    Father appeals the district court’s decision.
    ¶9     While this appeal was pending, a motions division of this court
    directed the parties to show cause why father’s appeal should not
    be dismissed, without prejudice, for lack of a final, appealable
    judgment, given that the magistrate has yet to rule on father’s
    objection. After the parties responded, the division deferred ruling
    to the merits division.
    II. Finality
    ¶ 10   We address whether the district court’s order adopting the
    magistrate’s contempt order is final and appealable, even though
    the magistrate has yet to rule on father’s objection to the amount of
    attorney fees awarded to mother. See Allison v. Engel, 
    2017 COA 43
    , ¶ 22, 
    395 P.3d 1217
    , 1222 (“We must determine independently
    our jurisdiction over an appeal, nostra sponte if necessary.”).
    ¶ 11   “A ‘final decision’ generally is one which ends the litigation on
    the merits and leaves nothing for the court to do but execute the
    judgment.” Baldwin v. Bright Mortg. Co., 
    757 P.2d 1072
    , 1073
    4
    (Colo. 1988) (quoting Budinich v. Becton Dickinson & Co., 
    486 U.S. 196
    , 199 (1988)) (determining that district court order dismissing
    defendants’ third-party claim and awarding attorney fees against
    them for bringing a frivolous action under section 13-17-102,
    C.R.S. 2018, was final and appealable even though the district
    court had reserved the amount of attorney fees for later
    determination). But see Axtell v. Park Sch. Dist. R-3, 
    962 P.2d 319
    ,
    321 (Colo. App. 1998) (deciding that district court order granting
    attorney fees under section 13-17-102 was not final and appealable
    because the attorney fee amount had not yet been determined).
    ¶ 12   Under C.R.M. 7(a)(3), only a final magistrate’s order is
    reviewable. “For the purposes of appeal, an order deciding the
    issue of contempt and sanctions shall be final.” C.R.C.P. 107(f).
    Thus, a contempt order is final once the district court adjudicates
    the contempt issue and imposes a “complete” sanction. See Sec.
    Inv’r Prot. 
    Corp., 36 P.3d at 178
    (By its plain language, C.R.C.P.
    107(f) “requires that, to constitute a final order, the determination
    of sanctions must be completed.”).
    ¶ 13   As father points out, the holding in Madison Capital is almost
    directly on point. There, the division held that a contempt order
    5
    and a later attorney fee order “in connection with [the] violation of
    the Order” were separately appealable. Madison 
    Capital, 214 P.3d at 559-60
    . Relying on Baldwin, the division reasoned that “[a] final
    judgment on the merits is appealable regardless of any unresolved
    issue of attorney fees.” 
    Id. at 560.
    The division dismissed as
    untimely the portion of the appeal concerning the underlying
    contempt order, but considered the appeal of the later attorney fee
    order. See 
    id. We note
    that, unlike the present case, the contemnor
    in Madison Capital did not challenge the reasonableness of the
    attorney fee award. See 
    id. at 559.
    ¶ 14   We disagree with the division’s holding in Madison Capital.
    See People v. Abu-Nantambu-El, 
    2017 COA 154
    , ¶ 88, ___ P.3d ___,
    ___ (“[O]ne division of the court of appeals is not bound by a
    decision of another division.”) (cert. granted Oct. 15, 2018).
    ¶ 15   As other divisions of this court have concluded, reasonable
    attorney fees are a component of remedial sanctions under C.R.C.P.
    107(d)(2). See 
    Webb, 284 P.3d at 109
    (“We first conclude that
    attorney fees can be awarded only as a component of remedial
    sanctions.”); 
    Eichhorn, 56 P.3d at 126
    (“C.R.C.P. 107(d)(2)
    specifically allows an award of attorney fees as a remedial
    6
    sanction . . . .”); see also Aspen Springs Metro. Dist., ¶ 
    34, 369 P.3d at 724
    (holding that remedial sanctions, such as the assessment of
    costs and attorney fees, cannot be imposed against a defendant
    whose violation of a court order had occurred in the past and,
    therefore, he could no longer purge his contempt); 
    Lopez, 109 P.3d at 1024
    (“Although attorney fees may be awarded in connection
    with remedial contempt, they may not be imposed as part of a
    punitive contempt sanction.”); Sec. Inv’r Prot. 
    Corp., 36 P.3d at 178
    (“[O]ther than costs and reasonable attorney fees, [under] C.R.C.P.
    107(d)(2), a trial court is without authority to require, as a remedial
    sanction, . . . payments . . . that do not force compliance with or
    performance of a court order.”); 
    Nussbeck, 949 P.2d at 75
    (a
    remedial order is “the predicate for the award of attorney fees”); cf.
    
    Shell, 148 P.3d at 178
    (“Rule 107(d)(2) permits the assessment of
    costs and attorneys’ fees where remedial sanctions are imposed
    against a contemnor.”).
    ¶ 16   We agree with those cases’ conclusion that C.R.C.P. 107(d)(2)
    allows a district court to award reasonable attorney fees as a
    remedial sanction. (Father does not contest that the attorney fee
    award is part of the remedial sanction.) Therefore, a contempt
    7
    order is not final until the attorney fees portion of the remedial
    sanction has been completely resolved. See C.R.C.P. 107(f).
    ¶ 17     In sum, father appealed too soon because the magistrate has
    not completed imposing remedial contempt sanctions against him.
    Accordingly, we must dismiss his appeal, without prejudice, for lack
    of a final order. See C.R.C.P. 107(f); Sec. Inv’r Prot. 
    Corp., 36 P.3d at 178
    .
    III. Appellate Attorney Fees
    ¶ 18     Given our conclusion that we lack jurisdiction to consider
    father’s appeal, we need not address mother’s request for recovery
    of her appellate attorney fees and costs under C.A.R. 39.1 and
    section 13-17-102. See In re Marriage of Barnes, 
    907 P.2d 679
    , 685
    (Colo. App. 1995) (remanding for further proceedings where the
    record was insufficient to allow appellate court to determine
    whether the court erred in denying the husband’s section 13-17-
    102 attorney fees request). (Mother’s answer brief cites to the
    previous number of the rule, C.A.R. 39.5, which pre-dates her
    request for appellate attorney fees.) Mother’s attorney fees request
    under C.A.R. 39.1 and section 13-17-102 will be ripe for
    8
    adjudication once the district court enters a final, appealable order
    setting the full amount of the remedial sanction.
    IV. Conclusion
    ¶ 19   We dismiss the appeal, without prejudice, for lack of a final
    order.
    JUDGE ROMÁN and JUDGE J. JONES concur.
    9