Weston v. T & T, LLC
2011 Colo. App. LEXIS 1052
Colo. Ct. App.2011Background
- T&T, LLC appeals a judgment for creditor Rick Weston on a CUFTA theory arising from transfers from NHTC to T&T to purchase Manor House.
- Creditor sought intervention in the NHTC/T&T dispute after obtaining a default against NHTC and sought injunctive relief, damages, a receiver, and a constructive trust.
- T&T argued: (a) improper non-attorney representation, (b) creditor failed to file a proper Rule 24(c) motion for intervention, (c) CUFTA claim not properly pled, (d) 20% prejudgment interest on attorney fees and costs, and (e) certain fees awarded.
- The trial court found CUFTA violations, awarded $160,666.67 plus interest, attorney fees, and costs; the court allowed creditor to intervene and permitted non-attorney representation under exceptions; issues were remanded for interest computation on attorney fees and costs.
- On appeal, the court affirms in part, vacates in part, and remands for recalculation of interest on attorney fees and costs, consistent with CUFTA and contractual terms.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Intervention without proper 24(c) motion | Weston | T&T | Intervention not abused; court discretionary to permit |
| CUFTA claim pledging sufficiency | Weston | T&T | Complaint sufficient to state CUFTA claim despite not citing CUFTA |
| Non-attorney representation of LLC | T&T | Weston | Trial court erred in permitting entrepreneur to represent T&T; error invited; no new trial warranted |
| Damage award under CUFTA and preservation | Weston | T&T | Damages raised issues not preserved; amount affirmed but remand for calculation consistent with CUFTA standards |
| Interest on attorney fees and costs | Weston | T&T | Interest on attorney fees and costs accrues from final judgment, not the prior default judgment; 20% rate applies only to principal, not fees; remand for accrual date and rate |
Key Cases Cited
- Keller Corp. v. Kelley, 187 P.3d 1133 (Colo.App.2008) (LLC representation exceptions; management authority matters)
- Grijalva v. Elkins, 132 Colo. 315, 287 P.2d 970 (1955) (abuse of discretion standard for intervention decisions)
- Capitol Industrial Bank v. Strain, 442 P.2d 187 (Colo. 1968) (distinguishes improper intervention when prejudice shown; pleading not required in some contexts)
- Lattany v. Garcia, 140 P.3d 348 (Colo.App.2006) (abuse of discretion review for timeliness determinations)
- Kennedy v. King Soopers Inc., 148 P.3d 385 (Colo.App.2006) (fees accrual from final fee-quantifying order)