Monday, April 16, 2012

Alabama Supreme Court Ruling on Supersedeas Bonds

In Ex parte Mohabbat, No. 1110503, a monetary judgment of $630,000 was entered for the Singhs and against the Mohabbats.  After the Mohabbats’ new-trial motion was denied by operation of law, the Mohabbats appealed.  In the trial court, the Mohabbats filed a motion to allow them to post a supersedeas bond of $100,000, as opposed to $787,500, the amount required by Ala. R. App. P. 8(a)(1), alleging that they did not have the resources to execute a $787,500 bond. The trial court granted the motion. 


In the Alabama Supreme Court, the Singhs filed a mandamus petition.  The Alabama Supreme Court granted the mandamus writ, holding that any motion seeking relief from the requirements of Rule 8(a)(1) must be first filed with the appellate court and that, on its own, a trial court lacks the authority to reduce the amount of the supersedeas bond. 


Thus, an appellant must move the Supreme Court to allow a reduced bond in order to stay execution on the judgment.  The Supreme Court may instruct the trial court to conduct a hearing to determine what the amount of the bond sought be but the initial request must be made to the Supreme Court.