MARINA DISTRICT DEVELOPMENT CO., LLC, ETC. VS. MICHAEL TSEYTIN (L-2720-12, ATLANTIC COUNTY AND STATEWIDE) ( 2019 )


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  •                                 NOT FOR PUBLICATION WITHOUT THE
    APPROVAL OF THE APPELLATE DIVISION
    This opinion shall not "constitute precedent or be binding upon any court." Although it is posted on the
    internet, this opinion is binding only on the parties in the case and its use in other cases is limited. R. 1:36-3.
    SUPERIOR COURT OF NEW JERSEY
    APPELLATE DIVISION
    DOCKET NO. A-0920-17T3
    MARINA DISTRICT
    DEVELOPMENT CO., LLC
    t/a BORGATA,
    Plaintiff-Appellant,
    v.
    MICHAEL TSEYTIN,
    Defendant-Respondent.
    ____________________________
    Submitted December 19, 2018 – Decided March 13, 2019
    Before Judges Vernoia and Moynihan.
    On appeal from Superior Court of New Jersey, Law
    Division, Atlantic County, Docket No. L-2720-12.
    Josiah Knapp, attorney for appellant.
    Respondent has not filed a brief.
    PER CURIAM
    Plaintiff Marina District Development Co., LLC t/a Borgata appeals from
    the trial court's order denying plaintiff's motion for reconsideration of an order
    denying its motion to hold defendant in contempt for failing to appear for a
    court-ordered supplementary proceedings deposition, R. 4:59-1(f), following
    the entry of a $202,332.60 judgment, plus costs, against defendant. Plaintiff
    argues the trial court erred by requiring that plaintiff first file an order to show
    cause to commence contempt proceedings. Because plaintiff requested that
    defendant be held in contempt, the trial court correctly ruled such relief is
    available only if proceedings are instituted by order to show cause; 1 thus, we
    affirm.
    We conduct a de novo review of the applicable Court Rules, according no
    special deference to the "trial court's interpretation of the law." Manalapan
    Realty, L.P. v. Twp. Comm. of Manalapan, 
    140 N.J. 366
    , 378 (1995). Plaintiff,
    as a judgment-creditor, had the option of taking defendant's deposition or
    proceeding as provided by Rule 6:7-2. R. 4:59-1. If, as here, the judgment-
    debtor fails to obey an order for discovery, the judgment-creditor could
    commence proceedings seeking relief pursuant to Rule 1:10-3 by filing a
    supported notice of motion. R. 6:7-2(e). The notice of motion must set forth a
    return date and the relief the judgment-creditor seeks, and include an order:
    1
    Contempt proceedings can also be commenced by the court upon an order for
    arrest, an avenue unavailable to a party. R. 1:10-2(a).
    A-0920-17T3
    2
    (1) adjudicating that the judgment-debtor has violated
    the litigant's rights of the judgment-creditor by failing
    to comply with the order for discovery or information
    subpoena;
    (2) compelling the judgment-debtor to furnish answers
    immediately as required by the order for discovery or
    information subpoena;
    (3) directing that if the judgment-debtor fails to appear
    in court on the return date or to furnish the required
    answers, he or she shall be arrested and confined to the
    county jail until he or she has complied with the order
    for discovery or information subpoena;
    (4) directing the judgment-debtor, if he or she fails to
    appear in court on the return date, to pay the judgment-
    creditor's attorney fees, if any, in connection with the
    motion to enforce litigant's rights; and
    (5) granting such other relief as may be appropriate.
    [Ibid.]
    Rule 6:7-2(f) provides an enforcement mechanism:
    If the judgment-debtor has failed to appear in court on
    the return date and the court enters an order to enforce
    litigant's rights, [the order, in prescribed form] shall
    state that upon the judgment-debtor's failure, within 10
    days of the certified date of mailing or personal service
    of the order, to comply with the information subpoena
    or discovery order, the court may issue an arrest
    warrant.
    The Rule pursuant to which such relief is sought, R. 1:10-3, provides,
    "[n]otwithstanding that an act or omission may also constitute a contempt of
    A-0920-17T3
    3
    court, a litigant in any action may seek relief by application in the action." The
    relief available in a Rule 1:10-3 motion – commonly known as a motion to
    enforce, or in aid of, litigant's rights 2 – is limited in scope "to remediation of the
    violation of a court order." Burke, 206 N.J. at 371. Neither Rule 6:7-2 nor Rule
    1:10-3 provides for contempt as an available form of relief to a litigant seeking
    to enforce a court's supplementary-proceedings discovery order. The sanctions
    against a non-compliant judgment-creditor available under Rule 1:10-3 are
    intended to be coercive. Milne v. Goldenberg, 
    428 N.J. Super. 184
    , 198 (App.
    Div. 2012). Likewise, the express relief provided in a Rule 6:7-2 order is
    coercive, not punitive, in nature.
    Conversely, contempt proceedings are penal. Zoning Bd. of Adjustment
    v. Datchko, 
    142 N.J. Super. 501
    , 509 (App. Div. 1976). Proceedings "to punish
    for contempt [except for contempt in the court's presence] shall be on notice and
    instituted only by the court upon an order for arrest or an order to show cause."
    R. 1:10-2. As we said in Datchko, 
    142 N.J. Super. at 509-10
    , a person charged
    with contempt
    must be afforded all of the rights of one charged with a
    crime except the right to indictment and to trial by jury.
    This includes the right to have the order to show cause
    2
    See Abbott v. Burke, 
    206 N.J. 332
    , 359 (2011); see also Manalapan Realty,
    
    140 N.J. at 392
    .
    A-0920-17T3
    4
    itself specify the acts or omissions alleged to have been
    contumacious. Moreover, the order to show cause must
    clearly indicate that it involves a true contempt
    proceeding and not, as here, supplementary relief to the
    litigant.
    Although plaintiff could have availed itself of the panoply of remedies
    available under Rules 6:7-2 and 1:10-3, it chose to seek to hold defendant in
    contempt.3 As the trial court noted, contempt proceedings must be initiated by
    order to show cause. The court, therefore, did not express "its decision based
    upon a palpably incorrect or irrational basis" or fail to consider or "appreciate
    the significance of probative, competent evidence" to justify reconsideration of
    its prior ruling. Cummings v. Bahr, 
    295 N.J. Super. 374
    , 384 (App. Div. 1996)
    (quoting D'Atria v. D'Atria, 
    242 N.J. Super. 392
    , 401-02 (Ch. Div. 1990)).
    Affirmed.
    3
    Plaintiff's moving papers were not included in the record. In its merits brief,
    plaintiff states it "filed a [m]otion . . . to hold [defendant] in contempt of court
    for his failure to attend a court-ordered deposition."
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    5