Hickerson v. Vessels
2014 CO 2
| Colo. | 2014Background
- Hickerson signed a 1989 promissory note payable to Vessels Oil and Gas Co., due in full April 12, 1999.
- Vessels filed suit in January 2009 seeking full unpaid debt plus interest; six-year limitations would have barred by April 2005.
- Partial payments by Hickerson restarted the limitations period under the partial payment doctrine.
- Trial court initially ruled the action timely, then later held that laches barred the claims.
- Colorado Court of Appeals held laches unavailable where a restarted period exists due to the partial payment doctrine, citing separation of powers.
- Colorado Supreme Court held that laches can apply within original or restarted limitations periods and remanded for further consideration on laches and fees.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether laches can shorten a debt-collection period within the original or restarted limitations period | Vessels argues laches cannot shorten the period, per separation of powers | Hickerson argues laches may shorten the period consistent with equity | Yes, laches can shorten within the original/restarted period |
| Interaction of partial payment doctrine with laches and timeliness | Vessels relies on restarted period, arguing laches precluded only if outside limit | Hickerson contends partial payment restarts but laches remains available | Partial payment restarts the period; laches can still apply to the restarted period |
Key Cases Cited
- Great West Mining Co. v. Woodmas of Alston Mining Co., 23 P. 908 (Colo. 1890) (la-chus defense applies despite statutory limitations in some cases)
- Dunne v. Stotesbury, 26 P. 333 (Colo. 1891) (early authority recognizing equitable defenses against limitations)
- O'Byrne v. Scofield, 212 P.2d 867 (Colo. 1949) (equitable tolling and laches considerations in Colorado)
- Lieske v. Swan, 26 P.2d 808 (Colo. 1933) (partial payment doctrine interaction with statutory timing)
- Smith v. Exec. Custom Homes, 230 P.3d 1186 (Colo. 2010) (merger of law and equity; respect for legislative authority while applying common law remedies)
- City of Thornton v. Bijou Irr. Co., 926 P.2d 1 (Colo. 1996) (merger of law and equity; equitable remedies in legal claims)