Russellville Care Center Inc v. Carolyn Ruth Cauley Revocable Trust et al

Filing 62

CONSENT JUDGMENT against Counterclaim Defendant Russellville Care Center, Inc. Signed by Judge Brian S. Miller on 8/2/2022. (kdr)

UNITED STATES DISTRICT COURT
FOR THE EASTERN DISTRICT OF ARKANSAS
CENTRAL DIVISION
RUSSELLVILLE CARE CENTER, INC.,
Plaintiff,
v.
CAROLYN RUTH CAULEY REVOCABLE
TRUST, SHARON GRIMES, in her capacity
as Trustee of the Carolyn Ruth Cauley
Revocable Trust, UNITED STATES OF
Case No. 4:20cv1438-BSM
AMERICA, ARKANSAS DEPARTMENT
OF HUMAN SERVICES, & DEBRA
BUCKNER, in her official capacity as Pulaski
County Tax Collector,
(formerly Case No. 60cv-20-5535 in the
Circuit Court of Pulaski County, Arkansas)
Defendants.
UNITED STATES OF AMERICA,
Counterclaim / Crossclaim Plaintiff
v.
RUSSELLVILLE CARE CENTER, INC.,
JANE DOE, in her capacity as the Trustee for
the CAROLYN RUTH CAULEY
REVOCABLE TRUST, ARKANSAS
DEPARTMENT OF HUMAN SERVICES,
DEBRA BUCKNER, in her official capacity
as PULASKI COUNTY TAX COLLECTOR,
TOMMY LAND, in his official capacity as
the ARKANSAS COMMISSIONER OF
STATE LANDS, ANNA GRACE ROMINE
CAULEY, BENNETT ROMINE CAULEY,
GRAYSON ROMINE CAULEY, &
SHELLE PURTSCHER,
Counterclaim / Crossclaim Defendants.

CONSENT JUDGMENT AGAINST COUNTERCLAIM DEFENDANT RUSSELLVILLE
CARE CENTER, INC.
This matter comes before the Court on the United States and Russellville Care Center,
Inc.’s Joint Motion for Entry of Consent Judgment on the United States Counterclaim (filed at
ECF No. 55). After due consideration, it is hereby ORDERED that the motion is granted; and
IT IS ORDERED, ADJUDGED, AND DECREED that judgment is entered in favor of
Counterclaim/Crossclaim Plaintiff the United States on its Counterclaim against Russellville
Care Center, Inc. (“Russellville”), as follows:
1.

The United States has valid and subsisting liens that attach to the real property

subject of the United States’ Crossclaim / Counterclaim located at 2 Creekside Court in Little
Rock, Arkansas (the “Creekside Property”) with the legal description “Lot 36, Sandpiper
Creek, an Addition to the City of Little Rock, Pulaski County, Arkansas, and being shown on
plat recorded as Plat No. D-752, records of Pulaski County, Arkansas” and with the Parcel
No. 44L0781003600.
2.

The United States liens may be enforced against the Creekside Property and the

Property may be sold subject to a subsequent order of the Court.
3.

The Creekside Property may be sold free and clear of any right, title, lien, claim,

or interest of Russellville and Russellville will receive any sale proceeds as set forth in
paragraph 4 below.
4.

After the Court confirms the sale of the Creekside Property, the sale proceeds

shall be distributed in the following order of priority:
(a) First, to any reasonable costs of sale payable to the United States
(or a Receiver if duly appointed);

(b) Second, to Pulaski County Arkansas and the Arkansas
Commissioner of State Lands for unpaid real property ad valorem
taxes owed pursuant to Ark. Code Ann. § 26-24-101(b) and further
described in Stipulations filed at ECF Nos. 26 & 34;
(c) Third, any Fees and Expenses due to the appointed Trustee of the
Carolyn Ruth Cauley Revocable Trust set forth in any subsequent
order of the Court;
(d) Fourth, $5,000 payable to Russellville;
(e) Fifth, the remainder, to the United States to pay, in part, the
outstanding federal tax liens (associated with Steven Cauley’s 2007
federal income tax liabilities) set forth in the Notices of Federal Tax
Lien filed with Pulaski County at Instrument Nos. 20111076319 and
2015041825.
JONATHAN ROSS
United States Attorney
DAVID A. HUBBERT
Deputy Assistant Attorney General
/s/ Emily C. Mizell
EMILY C. MIZELL
Ark. Bar. No. 2016227
Connor & Winters, LLP
4375 N. Vantage Drive, Suite 405
Fayetteville, AR 72703
479-587-5461
[e-mail]

/s/ Gretchen Ellen Nygaard
GRETCHEN ELLEN NYGAARD
D.C. Bar No. 1006292
Trial Attorney, Tax Division
Department of Justice
P.O. Box 7238, Ben Franklin Station
Telephone: [phone]
Fax: [phone]
[e-mail]

Counsel for Russellville Care Center, Inc.

Counsel for the United States of America

SO ORDERED this 2nd day of August, 2022.

______________________________________
UNITED STATES DISTRICT COURT JUDGE