Opinion ID: 1826613
Heading Depth: 1
Heading Rank: 4

Heading: Hughes' personal liability

Text: Hughes claims that the trial court erred, as a matter of law, in finding him personally and severally liable on the judgment in favor of Wasserburger. Hughes argues that he cannot be held personally liable because he disbursed the garnished funds pursuant to Judge Davis' order. Although Circuit Judge Davis ordered Hughes to release the funds to RIA, under SDCL 15-26A-3, Wasserburger had the right to appeal the order. In order to protect himself, prior to releasing the funds, Hughes should have provided Wasserburger with written notice of the filing of the order. If, thereafter, Wasserburger failed to appeal within sixty days, the time for appeal would have expired and Hughes could have released the funds to RIA without incurring personal liability. SDCL 15-26A-6. A notice of entry of judgment gives to a party the power to set running the time after which his adversary may not appeal[.] Kallstrom v. Marshall Beverages, Inc., 397 N.W.2d 647, 650 (S.D.1986) (citation omitted). When Hughes released the garnished funds, he acted at his own risk. Wasserburger appealed the order and it was reversed by this court. The jury later determined that at the time Hughes was served with the garnishee summons on May 31, 1989, he had in his possession and control $350,000 which was absolutely and unconditionally the property of CMC. Hughes, as garnishee, stood personally liable to Wasserburger for the amount of money in his possession or under his control belonging to [CMC] under SDCL 21-18-12. [2]