311 Ga. App. 495
Ga. Ct. App.2011Background
- Flowers obtained a judgment against JTH Tax, Inc. for breach of contract, fraud, punitive damages and attorney fees totaling $686,190.50.
- JTH sought to deposit funds with the trial court under OCGA § 9-11-67 to toll post-judgment interest on the undisputed portion of the judgment.
- The court approved a December 2008 deposit of $93,567.42, with withdrawal rights and abatement of interest on that amount.
- Separately, Flowers pursued an appeal on the fraud/punitive damages/attorney fees portion; JTH deposited $620,719.64 in September 2009 as supersedeas security.
- The September 2009 consent order did not allow withdrawal at any time and held funds until remittitur; Flowers could seek disbursement if conditions not met.
- On appeal, Flowers prevailed; remittitur issued, and the trial court held the September 2009 deposit did not satisfy 9-11-67, so interest on that deposit did not abate.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the September 2009 deposit abated post-judgment interest. | JTH contends the deposit tolls interest under 9-11-67. | Flowers contends only the December 2008 deposit satisfied 9-11-67; September 2009 did not. | Interest did not abate for the September 2009 deposit. |
Key Cases Cited
- Security Life Ins. Co. v. St. Paul Fire, etc., 263 Ga.App. 525 (2003) (post-judgment interest not abated absent full § 9-11-67 compliance)
- Great Southern Midway v. Hughes, 223 Ga. App. 643 (1996) (post-judgment interest not tolled where funds held pending appeal)
- Threatt v. Forsyth County, 250 Ga.App. 838 (2001) (interest does not abate where funds are not withdrawable)
- Sacha v. Coffee Butler Service, 215 Ga.App. 280 (1994) (compliance with § 9-11-67 required; withdrawals permitted otherwise abatement follows)
- Gunnin v. Parker, 198 Ga.App. 864 (1991) (when § 9-11-67 not fully complied with, trial court correctly awards interest)