No. 25A231

Avon Capital, LLC, a Wyoming Limited Liability Company v. Universitas Education, LLC

Lower Court: Tenth Circuit
Docketed: N/A
Status: Presumed Complete
Type: A
Tags: dissolution judgment-enforcement personal-jurisdiction service-of-process subject-matter-jurisdiction tenth-circuit
Latest Conference: N/A
Question Presented (AI Summary)

Whether a federal district court can reacquire subject matter jurisdiction and personal jurisdiction over a dissolved entity without new claims or proper service of process after a previous judgment was vacated

Question Presented (OCR Extract)

No question identified. : judgment against Avon Capital, LLC, a Wyoming entity (“Avon-WY”) that has not existed for years according to the Wyoming Secretary of State. In the first appeal, the Tenth Circuit Court of Appeals vacated the District Court’s February 11, 2021 judgment and held that: (1) the Universitas claims became moot; and (2) the District Court lost subject matter jurisdiction and Article III Standing when the judgment registered by Universitas in the District Court expired on December 3, 2020. Universitas Educ., Ltd. Liab. Co. v. Avon Capital, Lid. Liab. Co., Nos. 21-6044, 21-6049, 21-6133, 21-6134, 2023 U.S. App. LEXIS 20356 (10th Cir. Aug. 4, 2023) The District Court immediately issued a new temporary injunction order and then a new order re-adopting its previous judgment against Avon-WY that was to be effective once the Tenth Circuit issued its mandate. After the vacated judgment became effective upon issuance of the mandate, Avon-WY appealed to the Tenth Circuit. The Tenth Circuit affirmed the new judgment. Universitas Educ., Ltd. Liab. Co. v. Avon Capital, Lid. Liab. Co., 124 F.4th 1231 (10th Cir. 2024), Petition for Writ of Certiorari filed (No. 24-1126)). Avon-WY filed its Petition for Writ of Certiorari on April 28, 2025. Respondent Universitas Education, LLC (“Universitas” or “Respondent”) filed a Response on June 22, 2025. Avon-WY filed its Reply on June 27, 2025. Avon-WY presents two questions to this Court: 1. Whether the Tenth Circuit erred in assuming that the District Court reacquired subject matter jurisdiction after December 3, 2020 without the filing of any claims so that the District Court EMERGENCY APPLICATION TO JUSTICE NEIL M. GORSUCH BY PETITIONER AVON CAPITAL LLC, A WYOMING LIMITED LIABILITY COMPANY, TO TEMPORARILY STAY AUGUST 5, 2025 ORDER FOR DISBURSEMENT OF FUNDS Ct\Appl (Emergency) to Stay August 5 Order for Disbursement of Funds. 250822..doc Page 2 of 7 could re-enter the same findings and judgment in a case that was declared moot. 2. Whether the District Court actually reacquired personal jurisdiction over Petitioner Avon-WY after December 3, 2020 without attempted or actual service of process, which is contrary to every precedent of this Court. Avon-WY’s Petition for Writ of Certiorari is currently pending. II. Post-Judgment Proceedings in the District Court and Tenth Circuit On May 21, 2025, the District Court entered three Orders that are the subject of an appeal (collectively, the “May Orders”): (1) granting Universitas’s motions to sell assets and awarding attorneys’ fees to Universitas (App. Vol. 28 at 6769 (Doc. 761, Doc. 762) and (2) denying Phoenix’s Motion to Vacate the District Court’s March 29, 2024 Order modifying the injunction. (Doc. 763)) These orders are the subject of an appeal docketed in the Tenth Circuit as Case No. 25-6073 and oral argument is scheduled for September 10, 2025. The first of the May 2025 Orders (Doc. 761) orders that the assets of non-party SDM Holdings, LLC, an Oklahoma limited liability company (““SDM-OK’) be sold, despite SDM-OK not being a judgment debtor, based upon the District Court’s belief that it is best to wholly ignore: (1) the Wyoming Secretary of State records conclusively establishing that Avon-WY hasn’t existed for many years and the District Court’s 2017 Order recognizing that Avon-WY was dissolved in 2014 (Doc. 92, Order p. 3); (2) the Oklahoma Secretary of State records conclusively establishing that SDM-OK hasn’t existed for many years (Doc. 577-1, Secretary of State filings listing); (3) the EMERGENCY APPLICATION TO JUSTICE NEIL M. GORSUCH BY PETITIONER AVON CAPITAL LLC, A WYOMING LIMITED LIABILITY COMPANY, TO TEMPORARILY STAY AUGUST 5, 2025 ORDER FOR DISBURSEMENT OF FUNDS Ct\Appl (Emergency) to Stay August 5 Order for Disbursement of Funds. 250822..doc Page 3 of 7 Connecticut Secretary of State records conclusively establish that SDM-OK was merged into SDM Holdings, LLC, a Connecticut limited liability company (“SDM-CT”)

Docket Entries

2025-08-29
Application (25A231) denied by Justice Gorsuch.
2025-08-25
Application (25A231) for a stay, submitted to Justice Gorsuch.

Attorneys

Avon Capital, LLC, A Wyoming Limited Liability Company
Jeffrey Robert SandbergPalmer Lehman Sandberg, Petitioner
Jeffrey Robert SandbergPalmer Lehman Sandberg, Petitioner