KOTECKI & RADTKE, S.C., Plaintiff-Appellant, v. Shrenea JOHNSON and Robert Johnson, Defendants-Respondents, MILLER BREWING COMPANY, Garnishee-Defendant-Respondent.
No. 93-2919
Court of Appeals of Wisconsin
March 7, 1995
531 N.W.2d 606
For the defendants-respondents and garnishee-defendant-respondent the cause was submitted on the briefs of Richard E. Reilly and Kathryn A. Keppel of Gimbel, Reilly, Guerin & Brown of Milwaukee.
Before Sullivan, Fine and Schudson, JJ.
SULLIVAN, J. Kotecki & Radtke, S.C., a law firm, appeals from an order dismissing its garnishment action against Shrenea and Robert Johnson, and Miller Brewing Company. The casе comes to us upon summary judgment.
The trial court dismissed the garnishment action, concluding that Kotecki & Radtke failed to state a valid claim for relief because the firm had improperly instituted a separate action to recover Ms. Johnson‘s unpaid attorney‘s fees instead of seeking a judgment from the divorce court when it withdrew as counsel.
We conclude that: (1) Kotecki & Radtke properly instituted a separate action to recover the unpaid attorney‘s fees; (2) the firm‘s garnishment complaint states a valid claim for relief; and (3) there remain genuine issues of material fact that leave this matter inappropriate for summary judgment. Therefore, we must reverse and remand the trial court order dismissing the garnishment action.
Kotecki & Radtke also asks us tо review whether the trial court erred when it refused to disregard a trial brief submitted by Mr. Johnson and Miller Brewing in violation of the time limits set forth in the local court rules. We conclude that the firm‘s argument on this matter is without merit and that the trial court was acting well within its discretion when it refused to disregard the untimely response brief.
I. BACKGROUND
In December 1991, Ms. Johnson retained Kotecki & Radtke to represent her in a divorce action against Mr. Johnson. She executed a retainer agreement with Kotecki & Radtke wherein she agreed to pay the firm
On January 2, 1992, Attorney Josеph Radtke, a partner with Kotecki & Radtke, appeared on behalf of Ms. Johnson at a hearing before an assistant family court commissioner. The commissioner issued temporary orders requiring Mr. Johnson to pay Ms. Johnson $1,678 per month in maintenance and child support. The commissioner made no specific order with respect to payment of each party‘s attorney‘s fees, but did order that each party was to pay his or her own outstanding bills.1
On February 8, 1993, Kotecki & Radtke filed a motion to withdraw as counsel for Ms. Jоhnson, stating that “the attorney/client relationship has been compromised to the point that further representation is no longer possible.” The firm alleged, inter alia, that Ms. Johnson had wasted marital assets and could no longer pay her attorney‘s fees. We assume this motion to withdraw was granted and no attorney‘s fees were awarded, although the appellate record is silent on this issue.2
Before the final divorce judgment was entered, Kotecki & Radtke instituted a separate action against Ms. Johnson to collect the legal fees that she “neglected and refused to pay.”3 Ms. Johnson failed to answer the complaint, and the presiding court, on June 1, 1993, granted a default judgment of $2,830 for the unpaid legal fees and costs. On July 12, 1993, Kotecki & Radtke filed a garnishment action against the Johnsons, as well as Mr. Johnson‘s employer, Miller Brewing, seeking to garnish his wages to satisfy the default judgment the firm had obtained against Ms. Johnson. The firm later filed additional garnishment actions against Mr. Johnson and Miller Brewing that the trial court consolidated with the case at bar.
On August 27, 1993, Kotecki & Radtke filed a motion for summary judgment. Mr. Johnson and Miller Brewing‘s response brief was not filed until September 24. On October 18, a hearing was held on the summary judgment motion. At the hearing, Kotecki & Radtke requested that the court base its decision solely on the record as presented by Kotecki & Radtke‘s motion papers because opposing counsel‘s response brief was not filed within the timе limits prescribed by the local court rules. The trial court determined that because neither party nor the court was prejudiced by the tardy filing, in lieu of disregarding the response brief and
Addressing the merits of the summary judgment motion, the court determined that Kotecki & Radtke did not follow the statutory procedure for recovering attorney fees resulting from a divorce action. The court found that
II. SUMMARY JUDGMENT
“Summary judgment is appropriate to determine whether there are any disputed factual issues for trial and ‘to avoid trials where there is nothing to try.’ ” Caulfield v. Caulfield, 183 Wis. 2d 83, 91, 515 N.W.2d 278, 282 (Ct. App. 1994) (citation omitted). While we apply the same methodology as the trial court when reviewing summary judgment, we owe no deference to the conclusion of the trial court. Novak v. American Family Mut. Ins. Co., 183 Wis. 2d 133, 136, 515 N.W.2d 504, 506 (Ct. App. 1994). We first examine the pleadings to determine whether they state a claim for relief. See Green Spring Farms v. Kersten, 136 Wis. 2d 304, 315-17, 401 N.W.2d 816, 820-21 (1987). If the pleadings state a claim and the responsive plеadings join the issue, we then must examine the evidentiary record to analyze whether a genuine issue of material fact exists or whether either party is entitled to a judgment as a matter of law. Id.
1. The trial court‘s ruling.
Kotecki & Radtke challenges the trial court‘s determination that the firm “had no claim against” Mr. Johnson or Miller Brewing. As a basis for its conclusion, the trial court stated that its reading of
Our conclusion is guided by Stasey v. Miller, 168 Wis. 2d 37, 483 N.W.2d 221 (1992). In Stasey, the supreme court addressed the question: “[M]ay an attorney who continues to represent a client in a divorce action ask thе circuit court to determine fees in lieu of bringing a separate action against the client after the divorce action ends?” Id. at 39, 483 N.W.2d at 222. At issue was whether the circuit court lacked competency6
The court then noted that while the statutes granted the circuit court competency “in all actions affecting the family,” see
Section 767.23(3)(a), Stats. ... expressly authorizes a circuit court in an action affecting the family to grant separate judgment in favor of any attorney who has represented a party to the action for the amount of fees and disbursemеnts. This power is limited, however, to the circuit court‘s “making any order for dismissal of an action affecting the family or for substitution of attorneys in an action affecting the family or for vacation of a judgment theretofore granted in any such action.” (Emphasis added.) Thus, sec. 767.23(3)(a) apparently protects attorneys only when either the court or the attorney will no longer be connected with the action affecting the family.
Id. (emphasis in original).
Mr. Johnson and Miller Brewing argue on appeal that once Kotecki & Radtke withdrew as Ms. Johnson‘s counsel, the firm was “no longer connected with the action affecting the family,” id., and therefore, the divorсe court had competency to decide the attorney fees issue. The supreme court, however, did not end its discussion of
At oral argument counsel... asked us to hold that a divorce court should resolve a fee dispute between a lawyer and a divorce client during the divorce action only in the following circumstances: the client has asked the attorney to withdraw as counsel; the attorney has sought the circuit court‘s permission to withdraw as counsel; the opposing party in the divorce action objects to an adjournment or continuance of the trial; the circuit court concludes that the fee dispute arose from an “overtrial” caused by the client; the circuit court denies the attorney‘s motion to withdraw unless the client procеeds either pro se or with newly retained counsel who would proceed with the trial as scheduled; and the attorney continues to represent the client because the client does not wish to proceed pro se and cannot obtain new counsel under the conditions set by the circuit court. We are not persuaded that the legislature intended the circuit court to exercise subject matter jurisdiction over a fee dispute even under these limited circumstances.
Id. at 56-57, 483 N.W.2d at 229 (emphasis added). Thus, the supreme court strictly construed
Accordingly, following the guidance of the supreme court in Stasey, we conclude that there is nothing in
2. The sufficiency of the garnishment complaint.
We next must independently review the pleadings in order to determine whether Kotecki & Radtke has stated a valid claim for relief. See Green Spring Farms, 136 Wis. 2d at 315-17, 401 N.W.2d 816, 820-21. The sufficiency of a garnishment complaint after judgment is controlled by
(2) The garnishee complaint in a garnishment action after judgment must allege the existence оf the grounds for garnishment mentioned in s. 812.02 (1)(b), and the name and location of the court, case number, if any, date of entry and amount of the judgment on which the garnishment action is based, the amount of the plaintiff‘s claim against the defendant and disbursements, not to exceed $40, above all offsets known to the plaintiff, and that plaintiff believes that the named garnishee is indebted to or has property in his or her possession or under his or her control belonging to the defendant (naming him or her) and that the indebtedness or property is, to the best of plaintiff‘s knowledge and belief, not exempt from execution.
Our review of the sufficiency of Kotecki & Radtke‘s garnishee complaint leads us to conclude that it comports with the requirements of
3. Existence of any genuine issues of material fact.
As part of its appeal, Kotecki & Radtke also asks us to determine whether Mr. Johnson‘s wages from Miller Brewing can be garnished as marital property in order to satisfy the default judgment resulting from Ms. Johnson‘s unpaid attorney‘s fеes. We conclude that this issue is not properly before us at the summary judgment stage because genuine issues of material fact remain unresolved. See Home Ins. Co. v. Phillips, 175 Wis. 2d 104, 110, 499 N.W.2d 193, 196 (Ct. App. 1993). For instance, it is unclear whether Ms. Johnson possesses any non-marital property such as wages that can be used to satisfy the judgment. Additionally, it is unclear from the pleadings and affidavits at what point the Johnsons’ final divorce judgment was entered and whether the circuit court issued any orders regarding payment of contribution for attorney fees in the final
III. LOCAL RULE SANCTION
Finally, Kotecki & Radtke argues that the trial court erred when it refused to disregard a response brief submitted by Mr. Johnson and Miller Brewing in violation of the time limits set forth in the loсal court rules. The firm argues that the trial court should have disregarded the brief and reached its decision on summary judgment solely on the basis of the firm‘s timely filed pleadings and affidavits. We conclude that this argument has no merit.
The supreme court, under its inherent power to administer the judicial system in the State of Wisconsin, has created judicial administrative districts for “the purpose of administering the court system.” SCR 70.17. The supreme court also appoints chief judges of each judicial administrative district, SCR 70.18, to whom the supreme сourt delegates the authority to “adopt ... local rules not in conflict with the uniform judicial administrative rules.” SCR 70.34. The Chief Judge of the First Judicial Administrative District (comprising the circuit courts in Milwaukee County) has promulgated such rules and we have previously concluded that these local rules are “valid and enforce-
LOCAL RULE 364 governs summary judgment and dismissal motions in the First Judicial Administrative District. Specifically, it gives a respondent to a summary judgment motion fifteen days from “the service of the movant‘s motion” to serve and file “a brief, affidavits, or other supporting documents, or waive in writing the right to do so.” LOCAL RULE 364(b).11 If the respondent fails to file such documents with the fifteen-day period, “it shall be presumed that [the] respondent has waived the right to do so.” Id.
LOCAL RULE 367 provides further sanctions for untimely filings:
367. UNTIMELY SERVICE AND/OR FILING
Any motion, brief, affidavit, or other supporting documents served and/or filed in an untimely fashion may be disregarded by the court and a decision may be based on the record as timely filed. The time periods set forth in these rules may be altered by leave of the court for good cause shown by the party requesting a special exception.
Kotecki & Radtke contends that our decision in Community Newspapers mandates that a brief or other pleading filed in violation of the local rules must be disregarded by the trial court, and therefore the trial
Nothing in Community Newspapers commands such a result. At issue in Community Newspapers was whether a trial court could refuse to consider a pleading untimely filed under the local rules. Community Newspapers, 158 Wis. 2d at 31, 461 N.W.2d at 787. We concluded that “the authority of the circuit courts to... apply local rules is based upon the courts’ inherent power to control the disposition of the cases before them.” Id. at 32, 461 N.W.2d at 787. Thus, the trial court in Community Newspapers was well within its inherent authority to apply the local rules and disregard an untimely filed pleading. Id. at 33, 461 N.W.2d at 787.
The application of local rules to the particularities of individual cases is better left to the wide discretion of the trial court in controlling the disposition of the cases before them. For this court to mandate that the trial court unblinkingly disregard all untimely filed pleadings and affidavits would be counter-рroductive to the orderly judicial disposition of the cases brought before the trial court. Further, the express language of LOCAL RULE 367 provides that a trial court‘s decision to disregard a pleading or document as a sanction for an untimely filing is a discretionary act. LOCAL RULE 367 reads: “Any motion, brief, affidavit, or other supporting documents served and/or filed in an untimely fashion may be disregarded by the court and a decision may be based on the record as timely filed.” A general rule of
We conclude that the trial court properly exercised its discretion when it denied Kotecki & Radtke‘s request to disregard Mr. Johnson and Miller‘s untimely response brief. The court determined that neither the parties nor the court was prejudiced by the untimely filing and that the court and opposing counsel had sufficient time to review both sets of pleadings and affidavits before the summary judgment hearing. Further, in lieu of disregarding the untimely brief, the court assessed $100 in costs to Mr. Johnson and Miller Brewing as a sanction. These actions were well within the trial court‘s wide discretion to control the disposition of the cases before it.
IV. SUMMARY
In sum, we conclude the trial court improperly applied the law when it dismissed Kotecki & Radtke‘s complaint at summary judgment. Further, while we conclude Kotecki & Radtke‘s complaint states a valid claim for relief, we also conclude that genuine issues of material fact remain and, therefore, we must reverse the order and remand the matter to the trial court for
By the Court.—Order reversed аnd cause remanded with directions.
FINE, J. (concurring). I join in the majority decision, but write separately to point out the following:
1. On page 11, the majority writes:
The supreme court, however, did not end its discussion of § 767.23(3)(a), STATS., on the above point. The court addressed in dictum the applicability of § 767.23(3)(a) to situations similar to the one presented to us in the principal case, but in which the attorney continued to represent the divorce client.
(Emphasis added.) I do not understand how you can have a “situation[] similar to the one presented to us in the principal case,” which turns on the withdrawal of attorneys with requisite consent of the trial court, “but in which the attorney continued to represent the divorce client.”
Notes
1. RESP. To pay per month: $1,678.00
SUPPORT: $1,508.00 per month
MAINTENANCE: $170.00 per month
....
ATTORNEY FEES: No order.
....
5.OUTSTANDING BILLS: Each to pay own bills; parties to pay 1/2 of November telephone bill; ptnr. to pay for auto insurance.
(3) (a) Upon making any order for dismissal of an actiоn affecting the family or for substitution of attorneys in an action affecting the family or for vacation of a judgment theretofore granted in any such action, the court shall prior to or in its order render and grant separate judgment in favor of any attorney who has appeared for a party to the action and in favor of any guardian ad litem for a party or a child for the amount of fees and disbursements to which the attorney or guardian ad litem is, in the court‘s judgment, entitled and against the party responsible therefor.
767.01 Jurisdiction. (1) The circuit courts have jurisdiction of all actions affecting the family and have authority to do all acts and things necessary and proper in such actions and to carry their orders and judgments into execution as prescribed in this chapter. All actions affecting the family shall be commenced and conducted and the orders and judgments enforced according to these statutes in respect to actions in circuit court, as far as applicable, except as provided in this chapter.
767.02 Actions affecting the family. (1) Actions affecting the family are:
(a) To affirm marriage.
(b) Annulment.
(c) Divorce.
(d) Legal separation (formerly divorce from bed and board).
(e) Custody.
(f) For child support, including an action under s. 767.65.
(g) For maintenance payments.
(h) For property division.
(i) To enforce or modify a judgment or order in an action affecting the family granted in this state or elsewhere.
(j) For periodic family support payments.
(k) Concerning periods of physical placement or visitation rights to children.
(b) A respondent shall have 15 days from the service of the movant‘s motion within which to serve and file a brief, affidavits, or other supporting documents, or waive in writing the right to do so. If the respondent fails to file any brief, affidavits, or other supporting documents or a waiver of the same within the 15-day period, it shall bе presumed that respondent has waived the right to do so.
