Summary
The Thirteenth Court of Appeals of Texas conditionally granted Premier Small Business Services, Inc.’s petition for writ of mandamus. The court held that the trial court lacked plenary power to stay enforcement of a domesticated Virginia judgment and that its March 16, 2026 order was void because it imposed new obligations and hindered enforcement. The court directed the trial court to vacate the order and lifted the previously imposed stay.
Topics
Practice areas
Questions Presented
- Whether the trial court had plenary power or other post-judgment authority to issue a ninety-day order staying enforcement of the domesticated foreign judgment and imposing restrictions on the parties after its plenary power had expired.
- Whether Premier was entitled to mandamus relief without proving that it lacked an adequate remedy by appeal because the challenged order was void.
Holdings
- After a foreign judgment is domesticated in Texas, the trial court has plenary power over it for thirty days absent a timely motion for new trial or equivalent motion contesting recognition. Because Arc and Nelson did not file such a motion within thirty days, the trial court's plenary power expired before it issued the March 16, 2026 order. The court therefore lacked jurisdiction to issue the order, which was void.
- Premier was entitled to conditional mandamus relief because the trial court's order was void, and a relator challenging a void order need not show that it lacks an adequate remedy by appeal.
Key quotations
“The filing initiates the enforcement proceeding, but it also instantly creates a Texas judgment that is enforceable.” (7)
“The order at issue did not have the purpose or effect of enforcing the judgment and instead hindered it.” (11)
Factual background
A Virginia court entered a default judgment against Arc Primary Care LLC and Richard Troy Nelson for $629,579.06 plus post-judgment interest. Premier filed the authenticated judgment in a Hidalgo County district court under the Uniform Enforcement of Foreign Judgments Act and obtained writs of garnishment against several entities. After Arc and Nelson challenged enforcement and sought to protect operating funds, the trial court stayed all enforcement for ninety days, restricted use of funds, and barred Premier from initiating additional enforcement actions.
Procedural history
A Virginia court entered a default judgment for Premier against Arc Primary Care LLC and Richard Troy Nelson. Premier filed and domesticated the judgment in Texas under the Uniform Enforcement of Foreign Judgments Act and obtained writs of garnishment. After Arc and Nelson sought declaratory and injunctive relief, the Hidalgo County district court stayed all enforcement for ninety days and imposed related restrictions. Premier sought mandamus relief, and the court of appeals conditionally granted the petition and directed the trial court to vacate the stay order.
Remand instructions
The trial court must vacate its March 16, 2026 order and proceed in accordance with the memorandum opinion. The writ will issue only if the trial court fails to promptly comply.