Nardei v. Maughan ( 2001 )

(/(&7521,&&,7$7,21)('$SS3WK&LU )LOH1DPHES %$1.5837& D@OWKRXJK LW PD\ EH DUJXHG WKDW WKH IRUHJRLQJ LV D GLVWLQFWLRQ ZLWKRXWDGLIIHUHQFHWKHGLVWLQFWLRQGRHVQRWJRZLWKRXWQRWLFHl$SSHOODQWjV$SS([DW &RQVLVWHQWZLWKWKHDERYHWKHEDQNUXSWF\FRXUWjVRUGHUJUDQWHGDQH[WHQVLRQRIWLPH LQZKLFKWRILOHDFRPSODLQWREMHFWLQJWRGLVFKDUJH7KHUHLVQRLQGLFDWLRQLQWKHEDQNUXSWF\ FRXUWjVRUGHUWKDWDQH[WHQVLRQRIWLPHZDVDOVRJUDQWHGIRUDFRPSODLQWWRGHWHUPLQHWKH GLVFKDUJHDELOLW\RIDSDUWLFXODUGHEWXQGHU%DQNUXSWF\5XOH 2QsDQXDU\1DUGHLILOHGKLV&RPSODLQWIRU([FHSWLRQWR'LVFKDUJHDQGWR 'HQ\RU5HYRNH'LVFKDUJHWKHmFRPSODLQWl7KHFRPSODLQWFRQWDLQHGERWKDQREMHFWLRQ WR WKH GLVFKDUJH RI 1DUGHLjV GHEW XQGHU %DQNUXSWF\ 5XOH  DQG DQ REMHFWLRQ WR GLVFKDUJH XQGHU %DQNUXSWF\ 5XOH   $W WULDO KRZHYHU LW DSSHDUV WKDW 1DUGHL RQO\ SXUVXHGWKHFODLPXQGHU%DQNUXSWF\5XOHWRGHWHUPLQHWKHGLVFKDUJHDELOLW\RIKLV SDUWLFXODUGHEW $WWKHWULDO'HEWRUDJDLQUDLVHGKLVREMHFWLRQWRWKHH[WHQVLRQRIWLPHJLYHQ1DUGHL WRILOHWKHFRPSODLQW%\PHPRUDQGXPRSLQLRQHQWHUHGsDQXDU\WKHEDQNUXSWF\ FRXUWGHWHUPLQHGWKDWWKHGHEWRZHGWR1DUGHLE\'HEWRUZDVQRQGLVFKDUJHDEOHEHFDXVH LWZDVREWDLQHGWKURXJKIDOVHSUHWHQVHVDIDOVHUHSUHVHQWDWLRQRUDFWXDOIUDXGSXUVXDQWWR 86&†D$ 2QsDQXDU\'HEWRUILOHGKLVWLPHO\DSSHDO  ',6&866,21 7KH%DQNUXSWF\&RGHVHFWLRQVDQG%DQNUXSWF\5XOHVDSSOLFDEOHWRWKLVFDVHDUHDV IROORZV 6HFWLRQSURYLGHV D$GLVFKDUJHXQGHUVHFWLRQRIWKLVWLWOHGRHVQRWGLVFKDUJHDQ LQGLYLGXDOGHEWRUIURPDQ\GHEWo  IRUPRQH\SURSHUW\VHUYLFHVRUDQH[WHQVLRQUHQHZDO RUUHILQDQFLQJRIFUHGLWWRWKHH[WHQWREWDLQHGE\o $IDOVHSUHWHQVHVDIDOVHUHSUHVHQWDWLRQRU DFWXDOIUDXG       F ([FHSW DV SURYLGHG LQ VXEVHFWLRQ D% RI WKLV VHFWLRQ WKH GHEWRUVKDOOEHGLVFKDUJHGIURPDGHEWRIDNLQGVSHFLILHGLQSDUDJUDSK RURIVXEVHFWLRQDRIWKLVVHFWLRQXQOHVVRQUHTXHVWRIWKH FUHGLWRUWRZKRPVXFKGHEWLVRZHGDQGDIWHUQRWLFHDQGDKHDULQJWKHFRXUW GHWHUPLQHVVXFKGHEWWREHH[FHSWHGIURPGLVFKDUJHXQGHUSDUDJUDSK RUDVWKHFDVHPD\EHRIVXEVHFWLRQDRIWKLVVHFWLRQ 86&†D$F %DQNUXSWF\5XOHFSURYLGHV $FRPSODLQWWRGHWHUPLQHWKHGLVFKDUJHDELOLW\RIDGHEWXQGHU†FVKDOO EH ILOHG QR ODWHU WKDW  GD\V DIWHU WKH ILUVW GDWH VHW IRU WKH PHHWLQJ RI FUHGLWRUVXQGHU†D7KHFRXUWVKDOOJLYHDOOFUHGLWRUVQROHVVWKDQ GD\VjQRWLFHRIWKHWLPHVRIL[HGLQWKHPDQQHUSURYLGHGLQ5XOH2Q PRWLRQRIDSDUW\LQLQWHUHVWDIWHUKHDULQJRQQRWLFHWKHFRXUWPD\IRUFDXVH H[WHQGWKHWLPHIL[HGXQGHUWKLVVXEGLYLVLRQ7KHPRWLRQVKDOOEHILOHGEHIRUH WKHWLPHKDVH[SLUHG )('5%$1.53FHPSKDVLVDGGHG )LQDOO\%DQNUXSWF\5XOHESURYLGHVm7KHFRXUWPD\HQODUJHWKHWLPHIRU WDNLQJDFWLRQXQGHU5XOHVFRQO\WRWKHH[WHQWDQGXQGHUWKHFRQGLWLRQV VWDWHGLQWKRVHUXOHVl)('5%$1.53E  $PLQRULW\RIFRXUWVKDYHKHOGWKDWWKHGHDGOLQHVHWIRUWKLQ%DQNUXSWF\5XOHF LVQRWMXULVGLFWLRQDOEXWUDWKHUDVWDWXWHRIOLPLWDWLRQVVXEMHFWWRWKHGHIHQVHVRIZDLYHU HVWRSSHODQGHTXLWDEOHWROOLQJ6HH)LUVW%DQN6\VWHPY%HJXH,QUH%HJXH%5 %DQNU1'2KLRFLWLQJ6FKXQFNY6DQWRV,QUH6DQWRV%5  %$3 WK &LU  )DOODQJ Y +LFNH\ ,Q UH +LFNH\  %5   %DQNU6'2KLR6HHDOVR(XURSHDQ$P%DQNY%HQHGLFW,QUH%HQHGLFW )GG&LU,QGHHGWKHEDQNUXSWF\FRXUWLQ%HJXHDGPLWWHGWKDWm>W@KH RYHUZKHOPLQJPDMRULW\RIFRXUWVKDYHGHFLGHGWKDW>%DQNUXSWF\5XOH@EOHDYHVWKH EDQNUXSWF\ FRXUW QR GLVFUHWLRQ WR HQODUJH WKH WLPH IRU ILOLQJ D FRPSODLQW REMHFWLQJ WR GLVFKDUJHZKHQDFRPSODLQWRUDPRWLRQIRUH[WHQVLRQRIWLPHWRILOHLVVXEPLWWHGSDVWWKH GHDGOLQHl%HJXH%5DWFROOHFWLQJFDVHV 7KH&RXUWRI$SSHDOVIRUWKH6L[WK&LUFXLWKDVKHOGWKDW%DQNUXSWF\5XOHE mGRHVQRWSUHYHQWDEDQNUXSWF\FRXUWIURPH[HUFLVLQJLWVHTXLWDEOHSRZHUVXQGHU86& †DLQDFFHSWLQJDQXQWLPHO\ILOHGFRPSODLQWl,VDDFPDQ)GDWIRRWQRWH RPLWWHG  7KH 6L[WK &LUFXLW KRZHYHU GLG QRW UXOH ZKHWKHU WKH WLPH OLPLWV VHW IRUWK LQ %DQNUXSWF\5XOHFDUHMXULVGLFWLRQDORUDVWDWXWHRIOLPLWDWLRQV)XUWKHUWKH6L[WK &LUFXLWOLPLWHGWKHXVHRIWKHEDQNUXSWF\FRXUWjVHTXLWDEOHSRZHUVVWDWLQJ >:@HFRQFOXGHWKDWZKHUHDEDQNUXSWF\FRXUWHUURQHRXVO\VHWVDVHFRQGEDU GDWHIRUWKHILOLQJRIFRPSODLQWVWRGHWHUPLQHWKHGLVFKDUJHDELOLW\RIDGHEW EHIRUHWKHILUVWEDUGDWHKDVH[SLUHGDQGZKHUHDFUHGLWRUUHDVRQDEO\UHO\LQJ RQWKDWVHFRQGGDWHILOHVDFRPSODLQWEHIRUHWKHH[SLUDWLRQRIWKHVHFRQGEDU GDWH WKH EDQNUXSWF\ FRXUW DEXVHV LWV GLVFUHWLRQ LI LW IDLOV WR H[HUFLVH LWV HTXLWDEOHSRZHUVDQGSHUPLWWKHFRPSODLQWWRSURFHHG ,VDDFPDQ)GDW ,Q0LOOHUZHQRWHGWKDWWKH6L[WK&LUFXLWjVGHFLVLRQLQ,VDDFPDQZDVUHVWULFWHGWRWKH IDFWVVHWIRUWKLQ,VDDFPDQ0LOOHU%5DWm+HUHQRHUURUE\WKHFOHUNjVRIILFH LV DOOHJHG  7KH RQO\ PLVWDNH ZDV >FUHGLWRUjV@ IDLOXUH WR KHHG WKH GHDGOLQH IRU ILOLQJ GLVFKDUJHDELOLW\FRPSODLQWVSODLQO\VWDWHGLQWKHFOHUNjVQRWLFHl ,G7KH6L[WK&LUFXLWjV KROGLQJLQ,VDDFPDQKDVEHHQGHVFULEHGDV RQHPLQRUH[FHSWLRQWRWKHZLGHO\DFFHSWHGUXOHWKDW5XOHFjV%DU'DWH FDQEHHQODUJHGRQO\SXUVXDQWWRDPRWLRQILOHGE\DSDUW\LQLQWHUHVWSULRUWR LWVH[SLUDWLRQ7KLVH[FHSWLRQKDVEHHQYHU\QDUURZO\DSSOLHGDQGRQO\LQ  VLWXDWLRQVZKHUHWKHFRXUWLWVHOIPDGHDQHUURUWKDWUHVXOWHGLQWKHXQWLPHO\ DFWLRQRIDFUHGLWRU ,QUH*RUUHOO%5%DQNU6'2KLRFLWLQJ,VDDFPDQ)GDW 1DUGHLKDVQRWDVVHUWHGWKDWKLVIDLOXUHWRWLPHO\ILOHWKHFRPSODLQWZDVFDXVHGE\ DQHUURURIWKHEDQNUXSWF\FRXUW7KHUHIRUHWKHOLPLWHGH[FHSWLRQSHUPLWWHGE\WKH6L[WK &LUFXLWLQ,VDDFPDQLVQRWDSSOLFDEOHWRWKLVFDVH ,QWKHFDVHEHIRUHWKH3DQHO1DUGHLDUJXHVWKDWWKH'HEWRUjVIDLOXUHWRSURYLGHWKH UHTXHVWHGGLVFRYHU\ZDVWKHUHDVRQ1DUGHLFRXOGQRWWLPHO\ILOHKLVFRPSODLQW1DUGHL UHDVRQVWKDWVLQFHKLVFRPSODLQWZDVEDVHGRQIUDXGDQGKHLVUHTXLUHGWRSOHDGIUDXGZLWK VSHFLILFLW\WKDWKHFRXOGQRWGRVRDQGFRXOGQRWVDWLVI\WKHUHTXLUHPHQWVRI%DQNUXSWF\ 5XOHZLWKRXWWKHQHHGHGGLVFRYHU\ ,Q 1HZPDQ *URXS &RPSXWHU ([FK ,QF Y :KLWH ,Q UH :KLWH 1R  %DQNU6'2KLR$SUWKHFUHGLWRUDVVHUWHGWKDWLWVKRXOGEHH[FXVHGIURPWKH DSSOLFDWLRQRIWKHGHDGOLQHIRUILOLQJDQRQGLVFKDUJHDELOLW\FRPSODLQWEHFDXVHLWZDVPLVOHG E\VWDWHPHQWVRIWKHGHEWRU+RZHYHUWKHEDQNUXSWF\FRXUWIRXQGWKDWDFUHGLWRUZLWK QRWLFHRIWKHEDQNUXSWF\KDVWKHUHVSRQVLELOLW\WRSXUVXHDQGSURWHFWLWVRZQLQWHUHVWVLQWKH EDQNUXSWF\FDVH,G6HHDOVR/RQJRY0F/DUHQ,QUH0F/DUHQ%5 %DQNU 1' 2KLR  ZKHUH GHEWRU IDLOHG WR FRPSO\ ZLWK FRXUW RUGHU WR SURYLGH GLVFRYHU\ FUHGLWRU mFRXOG DQG VKRXOG KDYH REWDLQHG DQ H[WHQVLRQ RI WLPH WR REMHFW WR 'HEWRUjVGLVFKDUJHLIKHZDVQRWDWWKDWWLPHSUHSDUHGWRILOHDQREMHFWLRQWRGLVFKDUJHl DIIjG)GWK&LU*RUUHOO%5FUHGLWRUFRXOGKDYHDFWHGWRSURWHFW LWVLQWHUHVWVDVWKHEDUGDWHGUHZFORVHU&HUWDLQO\1DUGHLFRXOGKDYHILOHGDWLPHO\PRWLRQ IRUH[WHQVLRQVWDWLQJFDXVHXSRQZKLFKWKHH[WHQVLRQVKRXOGEHJUDQWHG6HH0DUVKDOOY 'HPRV,QUH'HPRV)GWK&LUSDUWLHVILOHGDPRWLRQIRUH[WHQVLRQ RIWLPHSULRUWRWKHGHDGOLQHZKHQWKH\UHDOL]HGWKHGHEWRUZRXOGEHXQDEOHWRSURYLGHWKH QHHGHGGLVFRYHU\SULRUWRWKHGHDGOLQHIRUILOLQJFRPSODLQWVXQGHU86&† &21&/86,21 7KHEDQNUXSWF\FRXUWHUUHGLQJUDQWLQJWKHH[WHQVLRQRIWLPHWRILOHWKHFRPSODLQW REMHFWLQJWRGLVFKDUJH7KHMXGJPHQWRIWKHEDQNUXSWF\FRXUWLQWKLVPDWWHULV5(9(56('  DQGWKHPDWWHULV5(0$1'('WRWKHEDQNUXSWF\FRXUWZLWKLQVWUXFWLRQVWRGLVPLVVWKH DGYHUVDU\SURFHHGLQJ