FLORA SCALES V DABNEY SCALES
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STATE OF MICHIGAN
COURT OF APPEALS
FLORA SCALES,
UNPUBLISHED
January 17, 2006
Plaintiff-Appellee,
v
No. 256455
Wayne Circuit Court
LC No. 98-814758-DO
DABNEY SCALES,
Defendant,
and
GENERAL MOTORS CORPORATION,
Appellant.1
Before: Donofrio, P.J., and Borrello and Davis, JJ.
PER CURIAM.
General Motors appeals as of right from an order finding General Motors in contempt of
court and imposing attorney fees and costs on General Motors. Because the trial court was
divested of jurisdiction when the cause of action was removed to federal district court, the trial
court improperly held General Motors in contempt of court, and we vacate the trial court’s order.
General Motors argues that the trial court erroneously imposed sanctions on it because
removal of the case to federal district court divested the trial court of jurisdiction. This Court
reviews for abuse of discretion a trial court’s decision to hold a party or individual in contempt.
However, to the extent that this Court’s review requires it to examine questions of law, review is
de novo. In re Auto Club Ins Ass'n, 243 Mich App 697, 714; 624 NW2d 443 (2000).
A defendant “desiring to remove any civil action . . . from a State court shall file in the
district court of the United States for the district and division within which such action is pending
1
Appellant was not an interested party in the original divorce proceedings. However, the
judgment of divorce awarded plaintiff a portion of defendant’s pension. Appellant now appeals
from the civil contempt order. We refer to appellant as “General Motors” in this opinion.
-1-
a notice of removal signed pursuant to Rule 11 of the Federal Rules of Civil Procedure and
containing a short and plain statement of the grounds for removal, together with a copy of all
process, pleadings, and orders served upon such defendant or defendants in such action.” 28
USC 1446(a). After the filing of such notice of removal of a civil action the defendant must give
written notice to all adverse parties and must file a copy of the notice with the clerk of the state
court, which shall effect removal and the state court shall proceed no further unless and until the
case is remanded. 28 USC 1446(d).
General Motors followed the proper federal procedural process to remove the case to the
federal district court. On May 21, 2003, General Motors filed a notice of filing petition for
removal to the federal district court and provided notice to the trial court. On June 6, 2003, the
trial court held a show cause hearing. Counsel for General Motors was not present at the
hearing. On July 15, 2003, plaintiff filed a notice of presentment of an order granting a motion
for costs and sanctions with the trial court. On July 17, 2003, General Motors filed an objection
to entry of the order, arguing that the trial court was divested of jurisdiction once the action was
removed to the district court. General Motors also argued that it properly rejected the proposed
domestic relations order because it failed to satisfy the requirements of the Employee Retirement
Income Security Act of 1974 (“ERISA”). On July 31, 2003, the federal district court remanded
the case to the trial court citing lack of jurisdiction.
On August 8, 2003, the trial court entered an order granting plaintiff’s motion for costs
and sanctions. The trial court found that defendant and General Motors failed to appear at the
June 6, 2003, hearing as ordered and found each in contempt of court. The trial court ordered
General Motors to pay $2,000 in attorney fees to plaintiff and her counsel immediately on entry
of the order. The trial court also ordered General Motors to pay $100 per day in sanctions until it
complied with the order to pay attorney fees.
The record reflects that the trial court erroneously sanctioned General Motors because the
case was removed to the federal district court at the time of the show cause hearing on June 6,
2003. Once a case is removed to federal court and notice is given to the state court, the state
court shall proceed no further unless and until the case is remanded. 28 USC 1446(d). Since the
trial court was divested of jurisdiction when the cause of action was removed to federal district
court, the trial court erred when it held General Motors in contempt of court and imposed costs
and sanctions including attorney fees.
General Motors further argues that it correctly rejected the trial court’s original qualified
domestic relations order. This issue is moot. An issue is moot if events have rendered it
impossible for the court to fashion a remedy. In re Dudzinski Contempt, 257 Mich App 96, 112;
667 NW2d 68 (2003). Following remand, the trial court conducted a show cause hearing
wherein it directed General Motors to assist plaintiff’s counsel in drafting a properly conforming
qualified domestic relations order. After a short recess, the parties returned with a properly
conforming qualified domestic relations order. Since General Motors accepted the amended
qualified domestic relations order, the issue is moot.
-2-
The trial court’s order finding General Motors in contempt of court and imposing
attorneys fees and sanctions on General Motors is vacated. We do not retain jurisdiction.
/s/ Pat M. Donofrio
/s/ Stephen L. Borrello
/s/ Alton T. Davis
-3-
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