Graham v. Zimmerman

• Decision Date: 01 July 1980
• Citation: 181 Conn. 367,435 A.2d 996
• Court: Connecticut Supreme Court
• Parties: Janet G. GRAHAM v. Marilyn R. ZIMMERMAN.

Page 996

435 A.2d 996

181 Conn. 367

Janet G. GRAHAM v. Marilyn R. ZIMMERMAN.

Supreme Court of Connecticut.

Argued Feb. 15, 1980.

Decided July 1, 1980.

Steven E. Arnold, Hartford, for appellant (plaintiff).

Charles B. Alaimo, Enfield, with whom was Thomas J. Barberie, Enfield, for appellee (defendant).

Before COTTER, C. J., and LOISELLE, BOGDANSKI, PETERS and HEALEY, JJ.

LOISELLE, Associate Justice.

This appeal is from the denial of a petition for a new trial by way of equitable relief from a judgment of strict foreclosure.

A review of the following facts found by the court, which are undisputed by the parties, ¹ facilitates an understanding of the issues on this appeal. On December 22, 1971, the plaintiff, Janet Graham, executed a note in the principal amount of $50,000, payable one year after that date, in favor of the defendant, Marilyn R. Zimmerman. This note was secured by a mortgage on certain real estate owned by Graham and located in Suffield.

On June 9, 1975, Zimmerman instituted an action to foreclose the mortgage in the Hartford County Superior Court. On July 16, 1975, Zimmerman moved for a default judgment against Graham for her failure to appear, and for an order requiring any appearing defendants in that action to disclose any defense they might have and, upon their failure to do so, for judgment against those defendants. See Practice Book, 1978, § 236. Because no appearance had been filed for Graham, Zimmerman's attorney, Charles Alaimo, served on Graham by certified mail the above motions on July 21, 1975. On July 25, 1975, Attorney Phyllis Corneal filed an appearance for Graham and examined the foreclosure file in the clerk's office; she was, therefore, aware of the pending motions for default for failure to appear and for disclosure of defense and judgment. On that date, Corneal advised the court that she had a defense to the foreclosure action and that she expected to file a pleading on the following Monday, July 28, 1975. Corneal never filed any defense to the action.

Over a month later, on September 5, 1975, the two motions referred to were scheduled to be heard by the court, and Corneal knew of this scheduled hearing. On September 5, 1975, at approximately 9:15 a. m., Corneal advised Alaimo by telephone that she would be unable to attend the scheduled hearing; Alaimo informed her that he was going forward on the case and that he would not agree to postpone it because it had been postponed before. She advised him that, if the motions went forward, she would file a motion to "reopen" any judgment which might enter. On September 5, 1975, in the absence of Corneal and of Graham, the motions went forward and a judgment of strict foreclosure was rendered against Graham for her failure to disclose a defense. Corneal took no action to protect her client from a default judgment for failure to disclose a defense. The court found the amount due on the note to be $49,612.58, including interest, and established a law day for the redemption of Graham's interest of December 15, 1975. Neither the plaintiff nor Corneal, however, received notice from the clerk that judgment had been rendered as required by General Statutes § 51-53. On February 6, 1976, the plaintiff filed a motion to open the judgment of foreclosure on the ground that she had never received notice of the judgment. ² The trial court denied the motion on the basis of General Statutes § 49-15, ³ concluding that the only remedy available to the plaintiff was a petition for a new trial. ⁴ The plaintiff then brought the present action for equitable relief, including a new trial.

The trial court, in denying the relief sought, concluded: That Corneal had no justifiable excuse for being absent from the September 5, 1975 hearing and, therefore, that the judgment rendered against the plaintiff on that date for failure to disclose a defense was proper; ⁵ that the provisions of General Statutes § 51-53, requiring the clerk to notify counsel in writing of any decision of the court that is not rendered in the presence of such counsel, is directory and not mandatory; and that the clerk's failure to notify counsel of the judgment rendered in this case did not deprive the plaintiff of due process of law.

Although we need not address the plaintiff's claim that the clerk's failure to notify her of the judgment entered in accordance with Practice Book, 1978, § 236, entitled her to a new trial on the foreclosure action, we note that the duty imposed on the clerk to notify counsel in writing of the court's decision is mandatory. The statute provides in pertinent part that: "Whenever any court, or the judge of any court acting in any matter coming before him as such judge, has made or rendered any decision ... unless the same is made or rendered in the presence of counsel in such matter, the clerk of such court shall forthwith notify such counsel, in writing, of such decision ...." (Emphasis added.) General Statutes § 51-53. The word "shall" imposes a mandatory duty on the clerk to notify counsel promptly of the court's decision. Section 1-1 of the General Statutes provides that in construing statutes, words and phrases are to be given their ordinary meaning. Unless the context indicates otherwise, the word "shall" must be assumed to have been used with full awareness of its ordinary meaning. Shulman v. Zoning Board of Appeals, 154 Conn. 426, 428-29, 226 A.2d 380 (1967). Although notice of the rendition or entry of judgment is not essential to a valid judgment; Restatement, 1 Judgments §§ 4 through 10; where notice is required by statute such notice should be given. ⁶

The case must be remanded, however, to include necessary parties. The complaint alleges that after the court's judgment of foreclosure had entered and Zimmerman had acquired title, Zimmerman conveyed the property to Martha Epstein. The complaint also alleges that approximately three months later Epstein conveyed the property to her attorney, Lawrence W. Borns, who in turn conveyed portions of the property to Robert C. Winter and Debra B. Winter, to Walter Thayer and Brenda Thayer, and to Richard E. Hastings who later conveyed an interest in his parcel to Julia H. Hastings and Lawrence W. Hastings. The defendant, Zimmerman, has acknowledged the existence of subsequent purchasers in her brief. Each of the subsequent purchasers was named as a party defendant in the complaint. The record shows, however, that this action was withdrawn as to the subsequent purchasers, that is, as to all defendants except Zimmerman, on September 27, 1978. The plaintiff, in her appeal from the denial of her petition for a new trial by way of equitable relief, would have this court set aside the judgment of the trial court and order the setting of a new law day for the redemption of her interest in the property. This result would require the conclusion that title to the property or, more precisely, the equity of redemption, remains in the plaintiff subject to the mortgage to Zimmerman and that any claim to title which arose after the September 5, 1975 judgment of foreclosure is without basis in law. This we cannot do.

Some subsequent purchasers of the property in question may have been bona fide purchasers for value. ⁷ Anyone having a present interest in the property in question is a necessary party to this action because he or she holds a known interest in the land which would be affected by the relief sought. McShan v. Sherrill, 283 F.2d 462, 463-64 (9th Cir. 1960). McShan v. Sherrill relies on two earlier cases regarding necessary parties to a property case: (1) Stewart v. United States, 242 F.2d 49, 51 (5th Cir. 1957) ("(N)o decree can be entered affecting the title to property or cancelling any cloud thereon unless all of the parties interested in the title or in the particular cloud and who will be directly affected by any judgment that may be rendered are properly before the court.") and (2) Washington v. United States, 87 F.2d 421, 427 (9th Cir. 1936) which quotes Shields v. Barrow, 17 How. 130, 141, 58 U.S. 130, 141, 15 L.Ed. 158 (1855) (" '(N)o court can adjudicate directly upon a person's right, without the party being either actually or constructively before the court.' "). Other authorities also adhere to the rule regarding necessary parties as enunciated in McShan v. Sherrill. Haiku Plantations Assn. v. Lono, 56 Haw. 96, 529 P.2d 1, 5 (1974) (Owner of reversionary interest in land "has a substantial interest in such property and such a person should be made a party in any litigation which may in any way reach or concern such interest."); Ellis Realty v. Chapelski, 28 Ill.App.3d 1008, 1011-12, 329 N.E.2d 370 (1975) (Land trustee as legal owner is not a necessary party because plaintiff's claim on contract for personal services does not affect land trustee's title to or possession of the real estate.); Schroeder v. Burleigh County Board of Commissioners, 252 N.W.2d 893, 896-97 (N.D.1977) (Successful applicant for zoning change should be joined as party in order to protect his interest in property against aggrieved person appealing from decision of zoning board); James & Hazard, Civil Procedure (2d Ed.) § 9.23, p. 446; see 3A Moore's Federal Practice (2d Ed.) P 19.09(1), pp. 19-198 through 19-200. This court has no jurisdiction over persons who have not been made parties to the action before it. Any judgment rendered in this action in the absence of subsequent purchasers who hold a present interest would not be binding as to them. Gill v. Shimelman, 180 Conn. 568, 571, 430 A.2d 1292 (1980); Corey v. Avco-Lycoming Division, 163 Conn. 309, 317, 307 A.2d 155 (1972), cert. denied, 409 U.S. 1116, 93 S.Ct. 903, 34 L.Ed.2d 699 (1973). Although "(a) judgment decreeing that the plaintiff is the owner of land will not bind nonparties who claim title ... (to) it ... it will undoubtedly cast a cloud on their title" and the nonparties should be joined to protect their interests. James & Hazard, sup...