Pns Stores, Inc., D/B/A MacFrugal's Bargain Closeouts D/B/A MacFrugals, Inc. v. Anna E. Rivera as Next Friend for Rachel Rivera
379 S.W.3d 267
| Tex. | 2012Background
- Rivera sued PNS Stores in 1998 for a slip-and-fall; federal judgment later dismissed without prejudice in 2000; Rivera refiled in state court three months later, serving PNS via its registered agent Prentice Hall; PNS did not answer and received a $1,480,677.74 default judgment; writ of execution served in 2009; PNS filed bill of review nine years after the default; court of appeals upheld summary judgment and held no extrinsic fraud tolling; Texas Supreme Court reversed portion and remanded for fact-finding on extrinsic fraud and tolling.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Voidness of the default judgment due to service defects | PNS argues defects render void summons | Rivera asserts defects are technical, not voiding due process | Defects render the judgment voidable, not void; collateral attack barred on these grounds |
| Extrinsic fraud and tolling of the bill of review period | PNS contends extrinsic fraud tolls four-year limit | Rivera argues no tolling or lack of fraud | There is some evidence of extrinsic fraud raising a fact issue on tolling the limitations period |
Key Cases Cited
- Peralta v. Heights Medical Center, Inc., 485 U.S. 80 (U.S. 1988) (due process requires notice; collateral attack available for lack of notice)
- McEwen v. Harrison, 345 S.W.2d 706 (Tex. 1961) (distinguishes lack of service from mere improper service (overruled to extent))
- Browning v. Prostok, 165 S.W.3d 336 (Tex. 2005) (collateral attack policy and finality of judgments)
- King Ranch, Inc. v. Chapman, 118 S.W.3d 742 (Tex. 2003) (extrinsic fraud and finality; tolling limitations)
- Layton v. Nationsbanc Mortgage Corp., 141 S.W.3d 760 (Tex. App.—Corpus Christi 2004) (address notice to wrong address; not proof of extrinsic fraud)
- Alderson v. Alderson, 352 S.W.3d 875 (Tex. App.—Dallas 2001) (mistake vs. fraud; lack of evidence of fraud)
- Wilson v. Dunn, 800 S.W.2d 833 (Tex. 1990) (strict compliance in direct attacks; not applied to collateral)
- Primate Constr. Inc. v. Silver, 884 S.W.2d 151 (Tex. 1994) (strict rule for direct attacks; not tolling)
- Stewart v. USA Custom Paint & Body Shop, Inc., 870 S.W.2d 18 (Tex. 1994) (presumption of validity; voidness when jurisdictional defect)
- Defee v. Defee, 966 S.W.2d 719 (Tex. App.—San Antonio 1998) (extrinsic fraud does not toll indefinitely)