BoomJ.com et al v. Pursglove

Filing 184

ORDER Granting 174 Motion to Discharge Writ of Garnishment and Vacating and Striking 37 Judgment. Signed by Judge Kent J. Dawson on 1/12/12. (Copies have been distributed pursuant to the NEF - ASB)

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UNITED STATES DISTRICT COURT

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DISTRICT OF NEVADA

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BOOMJ.COM, et al.,

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Plaintiffs,

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v.

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Case No. 2:08-CV-00496-KJD-LRL

GEORGE PURSEGLOVE, et al.,

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ORDER

Defendants.

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Presently before the Court is Defendant/Counterclaimant George Purseglove’s Motion to

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Discharge Writ of Garnishment (#174). Hutchison & Steffen (“H&S”) filed a response in opposition

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(#180) to which Purseglove replied (#181).

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I. Analysis

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Hutchison & Steffen’s Writ of Garnishment is based on a judgment for attorney’s fees (#37)

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entered in this action on February 10, 2009. Hutchison & Steffen filed its motion to withdraw as

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counsel for George Purseglove on September 28, 2008. It also filed its motion for fees and costs on

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the same date. The order granting the motion to withdraw was entered on October 28, 2008 (#33).

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H&S’s motion for fees and costs was unopposed and George Purseglove was unrepresented by

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counsel when the judgment was granted on February 10, 2009. Purseglove’s present counsel entered

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his appearance on April 21, 2009.

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On September 24, 2009, the Nevada Supreme Court rejected the holding and reasoning of the

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case, Gordon v. Stewart, 324 P.2d 234 (Nev. 1958), relied upon by H&S when it moved for entry of

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judgment for its attorneys fees and costs. Argentena Consol. Mining Co. v. Jolley Urga Wirth

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Woodbury & Standish, 216 P.3d 779, 786 (Nev. 2009)(“we reject...Gordon to the extent [that

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opinion] indicate[s] that the district court has the power to resolve a fee dispute in the underlying

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action irrespective of whether the attorney sought adjudication of a lien). Instead, Argentena

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concluded “that in the absence of an enforceable charging lien, a client’s request to extinguish a

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retaining lien, or the client’s consent to the district court’s adjudication of a retaining lien, the district

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court lacks jurisdiction to adjudicate the attorney-client fee dispute[.]” Id. at 788.

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H&S did not have an enforceable charging lien because there was no judgment or settlement

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that could be enforced under NRS 18.015 until July 28, 2011. Nor did Purseglove request

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extinguishment of a retaining lien or consent to the adjudication of a retaining lien. Therefore, the

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Court was without authority when it entered the Judgment (#37) on February 10, 2009. Since the

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Court lacked authority, the Judgment (#37) is vacated and the Clerk of the Court will strike it. In the

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absence of a valid judgment, the Court must grant Purseglove’s motion to discharge the writ of

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garnishment.1

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The Court recognizes that it has authority under NRS 18.015 to adjudicate the rights of attorneys, clients and
other parties and enforce a lien upon motion of an attorney having a lien under this section. Argentena also makes clear
that an attorney may seek adjudication of a fee dispute against a former client in a separate proceeding. Id. at 787.

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II. Conclusion

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Accordingly, IT IS HEREBY ORDERED that the Judgment (#37) is VACATED;

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IT IS FURTHER ORDERED that the Clerk of the Court STRIKE the Judgment (#37);

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IT IS FURTHER ORDERED that Defendant/Counterclaimant George Purseglove’s Motion

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to Discharge Writ of Garnishment (#174) is GRANTED.
DATED this 12TH day of January 2012.

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_____________________________
Kent J. Dawson
United States District Judge

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