900 F.2d 795 (5th Cir. 1990), 89-5631, Seattle-First Nat. Bank v. Manges

Docket Nº:89-5631
Citation:900 F.2d 795
Party Name:SEATTLE-FIRST NATIONAL BANK, A National Banking Association, Plaintiff-Appellee, v. Clinton MANGES, Helen Ruth Manges, Duval County Ranch Company and Man-Gas Transmission Company, Defendants-Appellants.
Case Date:April 18, 1990
Court:United States Courts of Appeals, Court of Appeals for the Fifth Circuit
 
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Page 795

900 F.2d 795 (5th Cir. 1990)

SEATTLE-FIRST NATIONAL BANK, A National Banking Association,

Plaintiff-Appellee,

v.

Clinton MANGES, Helen Ruth Manges, Duval County Ranch

Company and Man-Gas Transmission Company,

Defendants-Appellants.

No. 89-5631

United States Court of Appeals, Fifth Circuit

April 18, 1990

Page 796

David D. Towler, Law Offices of Royal D. Adams, P.C., San Antonio, Tex., for defendants-appellants.

Page 797

J. Patrick Deely, Kevin M. Warburton, McCamish, Martin, Brown & Loeffler, San Antonio, Tex., for plaintiff-appellee.

Appeal from the United States District Court for the Western District of Texas.

Before CLARK, Chief Judge, WILLIAMS and DUHE, Circuit Judges.

CLARK, Chief Judge:

Defendants Clinton Manges, Helen Ruth Manges and their corporations Duval County Ranch Company ("DCRC") and Man-Gas Transmission Company ("Man-Gas") (collectively the "Manges defendants") appeal three orders by the district court relating to the enforcement of its judgment against them and in favor of plaintiff Seattle-First National Bank (Seattle-First). We dismiss in part and, in part, affirm and remand for further proceedings.

I

On August 19, 1988, after protracted litigation, the parties submitted to the district court their Agreed Motion for Approval and Entry of Final Judgment. The judgment provided that Seattle-First would recover $55,361,545.72 from the Manges defendants, and approved as valid, reasonable and in force the parties' "Stipulation and Agreement Concerning Judgment, Stay of Execution, Foreclosure of Liens, and Satisfaction of Judgment and Other Obligations Owed to Seattle-First National Bank (the 'stipulation')." The stipulation provided among other things that the defendants would pay Seattle-First $30,000,000 on August 10, 1989. The stipulation also contained the following choice of venue provision:

The Manges Defendants agree that the jurisdiction and venue of any suit, hearing, or legal action of any nature, to which Seattle-First National Bank is a party, one effect of which could be to halt, enjoin, impair, or hinder the enforcement of this Agreement, or the enforcement or collection of the Final Judgment, shall be in the United States District Court for the Western District of Texas, San Antonio Division.

The Manges defendants defaulted on the $30,000,000 payment. Seattle-First then obtained an order from the district court directing the United States Marshal to seize and sell the defendants' property that secured the debt. On August 14, 1989 DCRC filed a voluntary bankruptcy petition in the United States Bankruptcy Court for the Southern District of Texas, Corpus Christi Division. At that time, counsel for the other Manges defendants stated that they also were ready and willing to file petitions in Corpus Christi. In response, Seattle-First filed a motion for a temporary restraining order and a preliminary injunction against the Manges defendants. Granting the TRO, the district court, among other things:

(1) restrained the Manges and Man-Gas from initiating any proceedings in any forum other than the Western District of Texas, San Antonio Division, the effect of which could be to halt, enjoin, impair, hinder, or stay the enforcement of the stipulation and related orders or of the final judgment;

(2) restrained the Manges and Man-Gas specifically from filing for relief under the Bankruptcy Code in any forum other than the Bankruptcy Court for the Western District of Texas, San Antonio Division;

(3) ordered Seattle-First to post $10,000 bond;

(4) ordered the Manges and...

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