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291 P.3d 119
Nev.
2012
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Background

  • Respondents acquired appellants’ rights and interests in the district court action at a sheriff’s sale after a judgment execution.
  • The underlying action involved breach of contract, fraud, and related counterclaims by appellants opposing respondents’ purchase of stores.
  • The district court ruled for respondents, rescinding the agreement and awarding damages; counterclaims were denied.
  • Appellants did not obtain a stay of execution; the writ allowed execution on the personal property of appellant Todd Butwinick and related claims.
  • Respondents moved to substitute as real parties in interest and dismiss the appeal, asserting rights to appellants’ defenses at sale.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
May a judgment creditor substitute and dismiss by executing on defenses? Respondents acquired appellants’ defenses at sale. Defenses are not subject to execution as personal property. No; defenses cannot be executed as personal property; motion denied.
Does a 'thing in action' include a party’s defenses to an action? Rights to defenses are transferable as part of the action. Defenses are not assignable rights. Defenses are not within 'thing in action'; cannot be bought to foreclose appellate rights.

Key Cases Cited

  • Gallegos v. Malco Enterprises of Nevada, 127 Nev. 579 (2011) (rights of action held by a judgment debtor are personal property subject to execution)
  • Achrem v. Expressway Plaza Ltd., 112 Nev. 737 (1996) (rights to a tort action are not assignable)
  • Maxwell v. Allstate Ins. Co., 102 Nev. 502 (1986) (rights of action based on fraud are not assignable)
  • Prosky v. Clark, 32 Nev. 441 (1910) (rights of action based on fraud are not assignable; but are personal to the wronged)
Read the full case

Case Details

Case Name: Butwinick v. Hepner
Court Name: Nevada Supreme Court
Date Published: Dec 27, 2012
Citations: 291 P.3d 119; 2012 Nev. LEXIS 122; 128 Nev. 718; 128 Nev. Adv. Rep. 65; 2012 WL 6712082; No. 56303
Docket Number: No. 56303
Court Abbreviation: Nev.
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    Butwinick v. Hepner, 291 P.3d 119