Equal Employment Opportunity Commission v. Northern Star Hospitality, Inc.

Filing 256

ORDER granting 241 Motion for Writ of Garnishment re: Garnishee Peoples State Bank and denying 254 Motion for Pre-garnishment Hearing. FURTHER, IT IS ORDERED that a hearing will be held on Thursday, July 23, 2015, at 1:00 p.m. to consider (1) pla intiff's motion for an award of reasonable expenses, including attorney fees, for defendant North Broadway Holdings, Inc.'s failure to comply promptly with plaintiff's motion to compel responses to post-judgment discovery from defendant and (2) any objections plaintiff or defendant has to the garnishment. Signed by District Judge Barbara B. Crabb on 6/9/15. (jls)

IN THE UNITED STATES DISTRICT COURT
FOR THE WESTERN DISTRICT OF WISCONSIN
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - EQUAL EMPLOYMENT
OPPORTUNITY COMMISSION,
ORDER
Plaintiff,
12-cv-214-bbc
v.
NORTHERN STAR HOSPITALITY,
D/B/A SPARX RESTAURANT;
NORTHERN STAR PROPERTIES
LLC; AND NORTH BROADWAY
HOLDINGS, INC.,
Defendants.
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - This closed case is before the court on plaintiff Equal Employment Opportunity
Commission’s motion, dkt. #238, for an order under Fed. R. Civ. P. 37(a)(3)(B) compelling
defendant North Broadway Holdings, Inc. to produce all relevant documents, provide
complete answers to plaintiff’s interrogatories and to pay reasonable attorney fees. (All
further references to “defendant” will be to North Broadway Holdings, because it is the only
defendant that was ordered to file answers and to pay damages after the jury found it had
violated Dion Miller’s rights under Title VII of the Civil Rights Act and awarded damages.)
In addition, plaintiff says that defendant failed to comply with the court’s order to file an
annual statement of compliance until plaintiff moved for contempt, dkt. #233, and has
failed to pay judgment and costs to plaintiff and to Dion Miller.

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Although defendant contends that it has complied with all of plaintiff’s interrogatories
and produced all the discovery it could, its contention is unpersuasive. As plaintiff points
out, defendant did not respond to plaintiff’s interrogatory no. 4, seeking a list and detailed
description of all real or personal property owned by defendant in the past four years,
including the purchase price, current value, amount of any loan balance against the property
and the location of the property. Moreover, according to plaintiff, defendant has not
produced a list of inventory or copies of its insurance policies. Defendant’s failure to turn
over this information, coupled with its refusal to cooperate earlier on the alleged ground that
all of its documents were in the possession of its tax preparer, appears to warrant an award
of attorney fees and costs to plaintiff. I will take up that issue at a hearing.
Plaintiff’s motion for a writ of garnishment is directed to Peoples State Bank, dkt.
#241, which is alleged to maintain a checking account for defendant, in the name of
defendant North Broadway Holdings, Inc., d/b/a Dennys, Inc. Although defendant denies
that this account is subject to garnishment for various reasons, I have reached the opposite
conclusion after reviewing plaintiff’s application. I am persuaded that the application
satisfies the requirements of 28 U.S.C. § 3105(b)(1). Defendant opposes issuance of the
writ and asserts a right to be heard before it is issued, but the garnishment proceedings
provide defendant an opportunity to be heard after the garnishee defendant has filed its
answer with the court and served a copy on plaintiff and defendant. 28 U.S.C. § 3205(c)(5).

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ORDER
IT IS ORDERED that the application of plaintiff EEOC for a writ of continuing
garnishment, dkt. #241, is GRANTED; the clerk of court is to (1) issue a writ of continuing
garnishment to the garnishee defendant and its successors or assigns, as set out in dkt. #243
(notice of post-judgment garnishment and instructions to defendant-judgment debtor North
Broadway Holdings, Inc); (2) a notice to defendant-judgment debtor regarding exemptions,
as set out in dkt. #244; and (3) instructions to the garnishee Peoples State Bank, as set out
in dkt. #244. Defendant’s motion for a pre-garnishment hearing, dkt. #254, is DENIED.
FURTHER, IT IS ORDERED that a hearing will be held on Thursday, July 23, 2015, at
1:00 p.m. to consider (1) plaintiff’s motion for an award of reasonable expenses, including
attorney fees, for defendant North Broadway Holdings, Inc.’s failure to comply promptly
with plaintiff’s motion to compel responses to post-judgment discovery from defendant and
(2) any objections plaintiff or defendant has to the garnishment. (If defendant does raise
objections, it will bear the burden of proving its grounds for those objections. 28 U.S.C.
§ 3205(c)(5).)
Entered this 9th day of June, 2015.
BY THE COURT:
/s/
BARBARA B. CRABB
District Judge

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