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Security Credit Services, LLC v. Hulterstrom

Court of Appeals of Colorado, Fifth Division

January 24, 2019

Security Credit Services, LLC, Plaintiff-Appellant,
v.
Winifried Hulterstrom, Defendant-Appellee.

          El Paso County District Court No. 10CV5060 Honorable Eric Bentley, Judge

          Vargo & Janson PC, Gerald P. Vargo, Yosy V. Janson, Nick J. Deganhard, Lakewood, Colorado, for Plaintiff-Appellant

          No Appearance for Defendant-Appellee

          Notarianni & Notarianni, Gregory J. Notarianni, Denver, Colorado; Sweetbaum Sands Anderson P.C., Geoffrey P. Anderson, Denver, Colorado, for Amicus Curiae Real Estate Law Section of the Colorado Bar Association

          Philip J. Weiser, Attorney General, Kimberly S. Sorrells, Deputy Assistant Attorney General, Denver, Colorado, for Amicus Curiae Colorado Department of Personnel and Administration

          OPINION

          BERGER, JUDGE

         ¶ 1 Can a judgment creditor obtain a judgment lien against real property when more than six years have passed since the entry of the judgment? If so, what must the creditor do to obtain such a lien?

         ¶ 2 We hold that a judgment creditor may obtain a judgment lien at any time during the remaining life of the judgment, but if more than six years have passed since the entry of the judgment, the creditor must first revive the judgment and record the transcript of the revived judgment. This is true whether or not the judgment creditor previously obtained a judgment lien.

         ¶ 3 Because the district court erroneously concluded that revival of the judgment was not required and denied the creditor's request to revive the judgment, we reverse the district court's order. I. Relevant Facts and Procedural Background

         ¶ 4 In 2010, the district court entered a money judgment in favor of plaintiff, Security Credit Services, LLC, against defendant, Winifried Hulterstrom. Security Credit obtained a transcript of the judgment, but it is not clear from the record whether Security Credit ever recorded the transcript of judgment and thus obtained a judgment lien on real property owned or later acquired by Hulterstrom in the county in which the transcript was recorded. In any event, it appears that Security Credit never foreclosed that lien on any specific property.

         ¶ 5 In 2017, Marshall Recovery II LLC filed notice with the district court that it had purchased the money judgment from Security Credit.[1] Not long after that, but more than six years after the entry of judgment, Marshall moved under C.R.C.P. 54(h) to revive the judgment. The district court denied the motion, stating "[t]he 6-year period [from the date of the judgment] expired on 10-13-16."

         ¶ 6 Marshall moved to reconsider, arguing that to obtain a new, valid judgment lien, it had to first revive the judgment. The district court denied this request a second time, stating as follows:

C.R.S. 13-52-102(1) provides that a judgment lien expires six years after entry of judgment unless, prior to the expiration of the six-year period, the judgment is revived and a new transcript of judgment recorded. In this case, as previously noted, the judgment lien expired on 10-13-16. Accordingly, it is too late to continue the original lien. The judgment creditor may, if it wishes, record a new transcript of judgment, which will create a new lien, effective as of the date of recording. There is no need to revive the judgment itself, since it is good for 20 years under C.R.S. 13-52-102(2) and reviving the judgment would not change the effect of the new lien.

         ¶ 7 In what Marshall describes as a "last ditch-effort" to obtain a revived judgment, it moved for a hearing on the motion to revive the judgment, which the district court ...


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