Opinion ID: 1280875
Heading Depth: 2
Heading Rank: 5

Heading: State District Court Action

Text: On September 11, 1991, the plaintiffs brought an action in the Iowa District Court for Floyd County against Gary, Phyllis, and Richardson, P.C. asserting the bank account transfers, house payments, and establishment and operation of Richardson, P.C. constituted fraudulent transfers to Phyllis which were calculated to avoid payment of the federal litigation judgment. The district court held the challenged transfers were fraudulent, awarded judgment against Phyllis in the amount of $577,938 exclusive of interest, and imposed a constructive trust in favor of the plaintiffs on the 205 Blunt Street property located in Charles City, Iowa. The plaintiffs filed an Iowa Rule of Civil Procedure 179(b) motion to amend requesting the district court to enlarge its ruling to include judgment against Richardson, P.C. The motion was denied. The Richardsons filed a post-judgment motion alternatively seeking a new trial or a reopening of the record to admit evidence they had made post-trial payments to the Internal Revenue Service. The district court denied the motions of all parties. The Richardsons have appealed the district court's judgment and denial of their alternative motions, and the plaintiffs have appealed the district court's denial of their rule 179(b) motion.