Quality Diesel Service, Inc. v. Tiger Drilling Company, LLC

In 2004, Quality Diesel Service, Inc. obtained a judgment against Gulf South Drilling Company, LLC. Then, after learning that Tiger Drilling Company, LLC was indebted to Gulf South, Quality Diesel had multiple writs of garnishment issued and served on Tiger Drilling from 2004 to 2006. All of Tiger Drilling’s answers to the writs were almost identical, stating that Tiger Drilling was indebted to Gulf South but that the debt was not yet due. On November 29, 2006, Quality Diesel contested Tiger Drilling’s responses by filing a Petition to Controvert Answers to Garnishments, specifically contesting Tiger Drilling’s answer to a writ issued on January 18, 2006. On March 14, 2014, Tiger Drilling filed a motion to dismiss the garnishment proceeding. On October 3, 2014, the Circuit Court granted dismissal on the ground that the underlying judgment had expired while the case was pending. On appeal, Quality Diesel contended that, because the underlying judgment was valid when the writs of garnishment were issued and served (and when it filed its Petition to Controvert) it could maintain a garnishment proceeding against Tiger Drilling, despite the fact that the underlying judgment has since lapsed. This case presented an issue of first impression concerning Mississippi’s garnishment law: when a party gets a judgment, timely executes a writ of garnishment, and timely initiates a garnishment proceeding, is that party required to renew the underlying judgment to collect the “property in the hands of the garnishee belonging to the defendant” at the time the garnishment proceeding was filed, to defeat the running of the statute of limitations? The Supreme Court held that a party was not required to renew the underlying judgment to collect such property under these circumstances. In this case, the Court reversed and remanded. View "Quality Diesel Service, Inc. v. Tiger Drilling Company, LLC" on Justia Law