USA v. Williams, et al

Filing 62

DECREE of Foreclosure that Plaintiff have and recover judgment in rem against the property and not in personam against Defendants Phillip J. Williams and LaShawnda Clark formerly known as LaSwhawnda Williams in the amount of $37,94 0.78, plus interest accruing at a rate of 8.75% per annum from 8/28/2014 to date of judgment, together with interest at the legal rate of.58% per annum pursuant to 28 USC sec. 1961(a) from the date of this judgment until paid, and costs herein laid out and expended in the amount of $5,976.01. Signed by Honorable Susan O. Hickey on November 30, 2016. (cc: U.S. Marshals Service-Certified).(mll)

IN THE UNITED STATES DISTRICT COURT
WESTERN DISTRICT OF ARKANSAS
TEXARKANA DIVISION
UNITED STATES OF AMERICA
v.

PLAINTIFF
CASE NO. 4:02-cv-4025

PHILLIP J. WILLIAMS; LaSHAWNDA CLARK,
f/k/a LaSHAWNDA WILLIAMS; WILLIE CLARK,
HUSBAND OF LaSHAWNDA CLARK,
WALKER RENTAL PROPERTY, INC.,
STATE OFARKANSAS, DEPT. of FINANCE
and ADMINISTRATION, OFFICE of CHILD
SUPPORT ENFORCEMENT; STEPHANIE
WILLIAMS; CONTREATA ROBINSON; and
ARKANSAS STATE LAND COMMISSIONER

DEFENDANTS

DECREE OF FORECLOSURE
Now on this 30th day of November, 2016, comes on to be heard the Complaint by the
United States of America, as amended, filed against the Defendants, Phillip J. Williams;
LaShawnda Clark f/k/a LaShawnda Williams; Willie Clark; Walker Rental Property, Inc.; State
of Arkansas, Department of Finance and Administration, Office of Child Support Enforcement;
Stephanie Williams; Contreata Robinson and the Arkansas State Land Commissioner, and the
Court being well and sufficiently advised, finds:
1.

The Court has jurisdiction of the parties and the subject matter herein pursuant to

28 U.S.C. § 1345.
2.

Plaintiff’s Complaint was originally filed on February 13, 2002, and was amended

on October 24, 2014. On January 22, 2016, this Court entered a Decree of Foreclosure as to the
named defendants, Phillip J. Williams; LaShawnda Clark, f/k/a LaShawnda Williams; Willie
Clark, husband of LaShawnda Clark, Walker Rental Property, Inc., and Arkansas State Land

Commissioner, that determined all issues as to those defendants. The Decree entered on January
22, 2016, is incorporated herein by reference.
3.

On January 22, 2016, the Court also granted Plaintiff leave to file its Second

Amended Complaint to include three additional Defendants, those being: (a) the State of
Arkansas, Department of Finance and Administration, Office of Child Support Enforcement; (b)
Stephanie Williams and (c) Contreata Robinson.
4.

The State of Arkansas, Department of Finance and Administration, Office of

Child Support Enforcement, was duly served with summons and a copy of the Complaint as
amended on February 2, 2016. The State of Arkansas, Department of Finance and
Administration, Office of Child Support Enforcement, entered its appearance and filed its
Answer on February 5, 2016. The State of Arkansas, Department of Finance and Administration,
Office of Child Support Enforcement, also entered its appearance on behalf of Contreata
Robinson.
5.

Plaintiff served Contreata Robinson in care of the Office of Child Support who

was authorized to accept service upon her on February 1, 2016. As noted above, the Office of
Child Support entered its appearance on behalf of Contreata Robinson.
6.

Stephanie Williams could not be found or served within the State of Arkansas and

did not voluntarily appear. On July 15, 2016, the Court ordered service to be made upon
Stephanie Williams by way of Publication. On September 8, 2016, Plaintiff filed its Proof of
Service by Publication. Stephanie Williams was properly served by Publication as ordered by the
Court with said Order being published in the Hope Star, a newspaper widely circulated within
Hempstead County, Arkansas, for six weeks consecutively, the first insertion therein having been
made on July 26, 2016, and the last on August 30, 2016.
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7.

Stephanie Williams failed to appear, plead, answer or otherwise respond to

Plaintiff’s Complaint as amended, and on October 25, 2016, this Court entered its Order and
Judgment of Default as to the Defendant, Stephanie Williams.
8.

On or about August 23, 1991, for a good and valuable consideration, the

Defendants, Phillip J. Williams and LaShawnda Clark f/k/a LaShawnda Williams, executed and
delivered their Promissory Note payable to the United States of America, acting through the
Rural Development Service (formerly known as Farmers Home Administration), United States
Department of Agriculture, in the principal amount of $22,240.00, with interest accruing at the
rate of 8.75 percent per annum, payable in installments beginning on August 23, 1991, and
continuing thereafter until paid in full, and providing that upon default the holder might declare
the entire indebtedness due and payable. Plaintiff is the legal holder of said Note.
9.

To secure payment of this note, the Defendants Phillip J. Williams and

LaShawnda Clark f/k/a LaShawnda Williams executed, acknowledged and delivered to the
United States of America, acting through the Rural Development Service (formerly known as the
Farmers Home Administration), United States Department of Agriculture, on August 23, 1991,
their Real Estate Mortgage, conditioned upon repayment of this note, which was recorded on
August 23, 1991, at Book 592, Page 258, in the records of Hempstead County, Arkansas,
covering the following described property in Hempstead County, Arkansas to-wit: Lots Nine (9)
and Ten (10) in Block Three (3) of Sullivan’s Addition to the City of Hope, Arkansas. Plaintiff is
the legal holder of this mortgage.
10.

Despite notice and demand, the Defendants Phillip J. Williams and LaShawnda

Clark f/k/a LaShawnda Williams have neglected to pay their obligation on this note and are in
default thereon, and the Plaintiff has declared the entire indebtedness due and payable and
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elected to seek in rem judgment and judicial aid of its claim, as allowed in said mortgage and by
law, and that there is due the Plaintiff on account of this note the principal sum of $20,881.59,
plus accrued interest of $17,059.19, as of August 28, 2014, with interest accruing thereafter at a
rate of 8.75 percent per annum, until date of judgment, and costs/fees in the amount of $5,976.01
through August 28, 2014, for a total owing of $43,916.79, plus interest from August 28, 2014,
and any additional fees and/or costs incurred thereafter.
11.

For valuable consideration, the Defendants, Phillip J. Williams and LaShawnda

Clark f/k/a LaShawnda Williams, in said mortgage, waived all rights of appraisement, sale,
redemption, and homestead and particularly all rights of redemption under the Act of the
Arkansas Legislature approved May 8, 1899, and acts amendatory thereof, and said the
Defendants, Phillip J. Williams and LaShawnda Clark f/k/a LaShawnda Williams, likewise
expressly waived all rights or possibility of dower, curtesy, and homestead in and to said land
and property.
12.

The relief being granted to the Plaintiff is not different as to type or material

amount from that sought in its Complaint as amended in its Amended Complaint and Second
Amended Complaint.
13.

The time for Defendants, Phillip J. Williams and LaShawnda Clark f/k/a

LaShawnda Williams, to plead has expired and they failed to appear or plead to the Complaint
and Amended Complaint. They are not infants or incompetent persons, or in the active military
of the United States, and they were in default, as previously found by this Court.
14.

The Defendant Arkansas Land Commissioner entered his appearance with the

filing of his Answers on October 30, 2014, December 14, 2015, and February 2, 2016. The
Defendant, Arkansas State Land Commissioner, no longer claims an interest in the property
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which is the subject of this action by virtue of Certificate recorded in Book 714 at Page 606
(forfeited for non-payment of taxes). Said property was redeemed by Redemption Deed No.
166184 dated March 4, 2002, recorded in Book 734, at Page 602. The Arkansas State Land
Commissioner does not object to the relief requested by Plaintiff, and the Arkansas State Land
Commissioner is immune from any and all liability arising herein.
IT IS THEREFORE ORDERED, ADJUDGED AND DECREED, that:
Plaintiff, United States of America, is entitled to have and recover judgment in rem
against the property and not in personam against the Defendants, Phillip J. Williams and
LaShawnda Clark f/k/a LaShawnda Williams in the amount of $37,940.78, plus interest accruing
at a rate of 8.75 per annum from August 28, 2014, to the date of judgment, together with interest
at the legal rate of .58% percent per annum pursuant to 28 U.S.C. § 1961(a) from the date of this
judgment until paid, and costs herein laid out and expended. The lien of the United States of
America is prior and superior to any interest claimed by any defendant.
If the above-mentioned indebtedness due the United States of America and in rem
judgment is not paid within ten days from the date of the entry of this Decree of Foreclosure,
then the United States Marshal for the Western District of Arkansas shall advertise the time,
place and terms of judicial sale according to law and this decree, at least once weekly for four
weeks prior to sale in a newspaper having a general circulation in Hempstead County, Arkansas,
and he shall sell at public outcry, to the highest qualified bidder, at the main door of the
Hempstead County Courthouse in Hope, Arkansas, on a credit of three months, the property
above described.
The purchaser at the Marshal’s sale shall give bond with approved security to secure
payment of the purchase price, and a lien shall be retained on the property to secure payment
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thereof. If the Plaintiff purchases the property for an amount not in excess of its judgment and
costs, which are hereby granted, it may credit the amount of its bid, less all court costs, upon its
judgment and need not give bond to secure the purchase price. The property shall be sold subject
to any unpaid property taxes.
Upon the sale of the above-described real property, all right, title, claim, interest, estate
and equity or statutory right of redemption, and all rights of homestead, curtesy and dower of all
defendants herein and to the property and every part thereof shall from that date be foreclosed
and forever barred.
The purchaser at said sale shall be given possession upon demand and the Clerk of this
Court is hereby authorized and directed to issue writs of assistance to the United States Marshal
for the Western District of Arkansas, who will proceed to place the purchaser in possession of
the property.
The sale proceeds, after expenses of sale, shall be paid and distributed to the United
States of America, USDA, Farm Service Agency, to the extent of the indebtedness owed to it
secured by its mortgage and judgment described above. Any surplus remaining shall be retained
by the U.S. Marshal subject to further orders of the Court, and subject to the Court’s
determination as to the validity and priority of liens of the other defendants who may claim a lien
as to said property.
The Court retains jurisdiction of this cause for the making of such further orders as may
be necessary to effectuate this judgment.
IT IS SO ORDERED, this 30th day of November, 2016.
/s/ Susan O. Hickey
Susan O. Hickey
United States District Judge
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