Morris v. Davis Giovinazzo Construction Co.
32 Pa. D. & C.5th 449
| Pennsylvania Court of Common P... | 2013Background
- Susquehanna loaned to DGC, secured by a security agreement and UCC-1 covering DGC receivables.
- DGC defaulted; Susquehanna obtained a June 16, 2008 confessed judgment for over $17 million.
- Plaintiff obtained a judgment against DGC for unpaid legal services and transferred it to Philadelphia; Domus garnished funds from Domus accounts payable to plaintiff, despite Susquehanna’s request to refrain.
- Susquehanna filed an emergency petition to intervene on March 19, 2009; court froze funds pending further order.
- DGC arbitration in 2010 favored DGC, and Domus faced an overlap of interplead actions; ED Pa awarded interplead funds to Susquehanna due to its perfected security interest.
- In September 2011, Susquehanna notified the Philadelphia court of the federal district court decision; on November 10, 2011, the court granted Susquehanna’s petition to intervene and allowed a 30-day window to request distribution of funds; failure to file within 30 days could dissolve the order.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the 30-day deadline is enforceable | Susquehanna argues Rule 2327 permits intervention without a time limit. | The 30-day deadline is binding as stated in the November 10, 2011 order. | The 30-day deadline is unenforceable absent action; court remanded to review on merits. |
| Whether the delay in filing barred relief for Susquehanna | Delay did not defeat Susquehanna’s legally protected interest. | A late filing should preclude relief under the court’s order. | Delay did not preclude relief; court reviewed merits and granted petition. |
Key Cases Cited
- Deutsch, Larrimore & Famish, P.C. v. Johnson, 791 A.2d 350 (Pa. Super. Ct. 2002) (intervention in judgment execution proceedings to protect interests)
- Darlington v. Reilly, 363 Pa. 72 (1949) (intervention decision is within trial court discretion and not readily disturbed)
- Jackson v. Hendrick, 446 A.2d 226 (Pa. 1982) (intervention standards and discretion)
- Templeton Appeal, 159 A.2d 725 (Pa. 1960) (intervention and timely filing considerations)