Reeves v. Steinfeldt

• Decision Date: 18 April 1996
• Docket Number: No. 950132-CA,950132-CA
• Citation: 915 P.2d 1073
• Parties: Shawn F. REEVES and Julie N. Reeves, Plaintiffs, Appellees, and Cross-appellants, v. Thad B. STEINFELDT dba Steinfeldt Construction, Defendant, Appellant, and Cross-appellee.
• Court: Utah Court of Appeals

Page 1073

915 P.2d 1073

Shawn F. REEVES and Julie N. Reeves, Plaintiffs, Appellees and Cross-appellants, v. Thad B. STEINFELDT dba Steinfeldt Construction, Defendant Appellant, and Cross-appellee.

No. 950132-CA.

Court of Appeals of Utah.

April 18, 1996.

Fourth District, Utah County; The Honorable Ray M. Harding.

William M. Jeffs, Provo, for Appellant.

D. David Lambert and Phillip E. Lowry, Provo, for Appellees.

Before ORME, DAVIS and BILLINGS, JJ.

AMENDED OPINION ¹

BILLINGS, Judge:

This is an appeal from a judgment determining appellant/cross-appellee Steinfeldt improperly filed a mechanics' lien against property owned by appellees/cross-appellants the Reeves and awarding the Reeves an offset from the amount they owed Steinfeldt under their construction contract. As a threshold matter, we must determine whether Steinfeldt's notice of appeal was timely filed, and therefore, whether we have jurisdiction. We conclude it was not and dismiss Steinfeldt's appeal for lack of jurisdiction. We therefore only reach the merits of the Reeves' cross-appeal, which we reverse in part and affirm in part.

FACTS

The Reeves owned real property in Lindon, Utah, upon which they constructed a home. Steinfeldt acted as their general contractor. Steinfeldt failed to complete the work as promised, and the Reeves were forced to hire others to complete construction of the home. The Reeves had made all payments owing Steinfeldt under their agreement through October 1993. On November 5, 1993, Steinfeldt filed a mechanics' lien against the property in the amount of $17,929. As a result of this mechanics' lien, the Reeves were required to escrow 150% of the lien amount to close their long-term financing. To meet this additional escrow demand, the Reeves drew on their line of credit with Security Pacific Professional Services (Security Pacific) in the amount of $16,500, and borrowed the remainder of the required escrow from a business owned by Mr. Reeves. On December 22, 1993, Steinfeldt filed an amended lien, reducing his claim to $12,764.19. A portion of the escrowed funds were thereafter released to the Reeves.

The Reeves filed suit against Steinfeldt, claiming Steinfeldt wrongfully filed his mechanics' lien and requesting an offset for the replacement labor necessitated by Steinfeldt's failure to complete the construction and for the cost of escrowing additional funds.

On October 17, 1994, after a bench trial, the trial court issued a Memorandum Decision, concluding Steinfeldt had filed a premature, excessive lien. The court therefore awarded the Reeves offset damages for the cost of finishing construction, the cost of escrowing monies for the lien, and attorney fees. The trial court directed the Reeves' counsel to prepare an appropriate order. See Utah R.Civ.P. 52(a).

On October 25, Steinfeldt filed a Motion for Reconsideration with the trial court, requesting the court to reconsider its October 17 ruling. The trial court did not rule on this motion until after a final judgment had been signed and entered.

On October 27, the Reeves' counsel sent Steinfeldt a copy of "Plaintiff's Proposed Findings of Fact, Conclusions of Law and Judgment." On November 4, in compliance with Rule 4-504(2) of the Utah Code of Judicial Administration, ² the Reeves presented a copy of the Proposed Findings, Conclusions, and Judgments to the trial court. The signed findings and judgment were entered in the court's docket on November 7.

Unaware that judgment had been entered, on November 8, Steinfeldt sent the Reeves his objections to the proposed findings and judgment. ³ On November 9, the Reeves sent Steinfeldt notice of the judgment. Steinfeldt thereafter filed an Ex Parte Motion for an Extension to File an Appeal, which the trial court granted on December 2.

On December 8, the trial court issued a second Memorandum Decision denying Steinfeldt's Motion for Reconsideration and his Objections to the Reeves' Proposed Findings, Conclusions, and Judgment and directing the Reeves to prepare an appropriate order. The trial court signed that order on January 3, 1995.

Steinfeldt filed a Notice of Appeal on December 27, 1994. The Reeves filed a Notice of Cross-Appeal on January 11, 1995.

ANALYSIS

Jurisdiction

On appeal, the Reeves contend that under Rule 4(b) of the Utah Rules of Appellate Procedure, Steinfeldt's Notice of Appeal was untimely because it was filed before entry of the trial court's order denying Steinfeldt's post-judgment motion objecting to the proposed findings and conclusions. Conversely, Steinfeldt claims that neither his motion nor his objections constituted post-judgment motions under Rules 52 or 59 of the Utah Rules of Civil Procedure and therefore his appeal was timely. Steinfeldt also contends the Reeves' cross-appeal should be dismissed as untimely as it was filed more than fourteen days after Steinfeldt's own notice of appeal. See Utah R.App.P. 4(d).

In pertinent part, Rule 4 of the Utah Rules of Appellate Procedure provides with our emphasis:

(a) Appeal from final judgment and order. In a case in which an appeal is permitted as a matter of right from the trial court to the appellate court, the notice of appeal ... shall be filed with the clerk of the trial court within 30 days after the date of entry of the judgment or order appealed from....

(b) Motions post judgment or order. If a timely motion under the Utah Rules of Civil Procedure is filed in the trial court by any party ... under Rule 52(b) to amend or make additional findings of fact, whether or not an alteration of the judgment would be required if the motion is granted; [ ] under Rule 59 to alter or amend the judgment; or [ ] under Rule 59 for a new trial, the time for appeal for all parties shall run from the entry of the order denying a new trial or granting or denying any other such motion.... A notice of appeal filed before the disposition of any of the above motions shall have no effect. A new notice of appeal must be filed within the prescribed time measured from the entry of the order of the trial court disposing of the motion as provided above.

....

(d) Additional or cross-appeal. If a timely notice of appeal is filed by a party, any other party may file a notice of appeal within 14 days after the date on which the first notice of appeal was filed, or within the time otherwise prescribed by paragraph (a) of this rule, whichever period last expires.

DeBry v. Fidelity National Title Insurance Co., 828 P.2d 520 (Utah App.1992) is extremely helpful in resolving this jurisdictional question. In DeBry, as in this case, this court was asked to determine whether a notice of appeal was timely where post-judgment motions were filed and considered by the court. Id. at 521-22. The facts of DeBry are strikingly similar to those before us.

On March 28, 1990, the trial court granted Fidelity's motion for summary judgment, dismissing the DeBrys' complaint. The court thereafter directed Fidelity to prepare and submit proposed findings of fact, conclusions of law, and judgment in conformity with the court's ruling. Fidelity hand-delivered to the DeBrys' counsel a copy of the proposed findings and judgment on April 24. On May 2, Fidelity submitted the proposed findings, conclusions, and judgment to the trial court. The trial court signed and the clerk entered the findings, conclusions, and judgment that same day. On May 7, twelve days after their receipt of the proposed findings and five days after entry of judgment, the DeBrys filed a document entitled "Plaintiffs' Objections and Additions to Proposed Findings of Fact and Conclusions of Law." In that document, the DeBrys objected to various findings and conclusions and argued that specific additional findings and conclusions should be made by the trial court. Thereafter, on May 22, the DeBrys filed a notice of appeal "from the order granting summary judgment ... entered ... on May 2, 1990." On November 16, Fidelity mailed the DeBrys a copy of a proposed order denying the DeBrys' objections and additions. The trial court signed the order on December 11, stating "IT IS HEREBY ORDERED that Plaintiffs' motion pursuant to Rule 52(b), Utah Rules of Civil Procedure, to amend the proposed Findings of Fact and Conclusions of Law be and is hereby denied." Id. Following entry of this order, the DeBrys did not file a new notice of appeal.

On appeal, the DeBrys argued their objections and additions to the proposed findings, conclusions, and judgment was not a Rule 52 motion. Specifically, the DeBrys contended the document did not constitute a "motion" per se, reasoning that it was an objection and not a post-judgment motion. Id. Thus, the DeBrys claimed that Rule 4(b) did not bar their notice of appeal and that this court therefore had jurisdiction to hear their appeal. In concluding that the DeBrys' notice of appeal was not timely filed, this court stated: "In determining whether the [trial] court properly characterized DeBrys' document, we look to the document's substance rather than its caption." Id. We continued that regardless of its caption, "a motion filed within ten days of the entry of judgment that questions the correctness of the court's findings and conclusions is properly treated as a post-judgment motion under either Rules 52(b) or 59(e)." Id. at 522-23. This court concluded that, in substance, the DeBrys' motion requested the trial court to amend and make additional findings of fact and conclusions of law, and thus was a Rule 52 post-judgment motion. Moreover, this court held that, because the trial court can still alter or amend its judgment or findings and conclusions under Rules 50, 52, and 59, "a notice of appeal is of no effect if filed prior to the disposition of a post-judgment motion." Id. at 523; accord Bailey v. Sound Lab, Inc., 694 P.2d 1043, 1044 (Utah 1984); see also Swenson Assocs. Architects v. Division of Facilities Constr., 889 P.2d 415, 417 (Utah 1994) (dismissing for lack of...