Hagen v. Siouxland Obstetrics & Gynecology, PC et al

Filing 167

ORDER granting 163 MOTION to Stay 158 Judgment. Any action to enforce or collect upon the judgment in favor of Plaintiff is hereby stayed pending the Eighth Circuit Court of Appealss decision in this case. Within three business days of the date of this order, Defendants shall deposit the original version of the letter of credit (docket no. 163-1) with the Clerk of Court. The Clerk shall hold the letter of credit deposited by Defendants until further order of this court. After the Eighth Circuit Court of Appeals issues its opinion in this case, and if the judgment in favor of Plaintiff survives appeal, any party may seek to lift this stay by filing a motion in this court. Signed by Judge Mark W Bennett on 7/15/14. (djs)

IN THE UNITED STATES DISTRICT COURT
FOR THE NORTHERN DISTRICT OF IOWA
WESTERN DIVISION
EDWARD P. HAGEN, D.O.,
No. C 11-4047-MWB
Plaintiff,
vs.
SIOUXLAND OBSTETRICS &
GYNECOLOGY, P.C., an IOWA
CORPORATION, PAUL J. EASTMAN,
M.D., TAUHNI T. HUNT, M.D., and
ANGELA J. ALDRICH, M.D.,

ORDER REGARDING MOTION FOR
STAY PENDING APPEAL

Defendants.
___________________________
This case is before me on Defendants’ motion for a stay pending appeal under
Federal Rule of Civil Procedure 62, which Defendants filed on July 3, 2014 (docket no.
163). In their motion, Defendants request that I stay any proceedings to enforce the
judgment against Defendants while the Defendants appeal the judgment to the Eighth
Circuit Court of Appeals. On May 2, 2013, the Clerk entered judgment in favor of
Plaintiff, and against Defendants, for $1,051,814 (docket no. 114). On May 30, 2014,
the Clerk entered judgment awarding Plaintiff pre- and post-judgment interest (docket
no. 158). On June 30, 2014, Defendants filed a notice of appeal, noting that they were
appealing the judgment to the Eighth Circuit Court of Appeals (docket no. 160). On
July 9, 2014, Plaintiff filed notice of a cross appeal (docket no. 164). Defendants
request a stay of proceedings to enforce the judgment while the appeals are pending.
Plaintiff consents to Defendants’ motion.

Thus, for the reasons discussed below,

Defendants’ motion is granted.
Defendants move for a stay under Rule 62(d), which provides:

If an appeal is taken, the appellant may obtain a stay by
supersedeas bond, except in an action described in Rule
62(a)(1) or (2). The bond may be given upon or after filing
the notice of appeal or after obtaining the order allowing the
appeal. The stay takes effect when the court approves the
bond.
“A district court may, in its discretion, grant a stay without requiring the posting of a
bond if the appellant provides an acceptable alternative means of securing the
judgment.” F.D.I.C. v. Ann-High Associates, No. 97-6095, 1997 WL 1877195, at *1
(2d Cir. Dec. 2, 1997) (citing Dillon v. City of Chicago, 866 F.2d 902, 904-05 (7th
Cir. 1988); Federal Prescription Serv. Inc. v. American Pharmaceutical Ass'n, 636
F.2d 755, 757-58 (D.C. Cir. 1980); Poplar Grove Planting & Refining Co. v. Bache
Halsey Stuart, Inc., 600 F.2d 1189, 1191 (5th Cir. 1979); Trans World Airlines, Inc.,
v. Hughes, 515 F.2d 173, 176 (2d Cir. 1975)). Here, in lieu of a supersedeas bond,
Defendants have obtained an irrevocable standby letter of credit in favor of Plaintiff for
$1,100,000, available through Security National Bank in Sioux City, Iowa. Defendants
attached the letter of credit as Exhibit A to their motion. It has been approved by
Plaintiff’s counsel.
THEREFORE,
(1) Defendants’ motion for a stay pending appeal (docket no. 163) is granted. Any
action to enforce or collect upon the judgment in favor of Plaintiff is hereby
stayed pending the Eighth Circuit Court of Appeals’s decision in this case.
(2) Within three business days of the date of this order, Defendants shall deposit the
original version of the letter of credit (docket no. 163-1) with the Clerk of Court.
The Clerk shall hold the letter of credit deposited by Defendants until further
order of this court.

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(3) After the Eighth Circuit Court of Appeals issues its opinion in this case, and if
the judgment in favor of Plaintiff survives appeal, any party may seek to lift this
stay by filing a motion in this court.
IT IS SO ORDERED.
DATED this 15th day of July, 2014.

______________________________________
MARK W. BENNETT
U.S. DISTRICT COURT JUDGE
NORTHERN DISTRICT OF IOWA

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