Colorado Politics

Federal judge tosses suit against Colorado Supreme Court in long-running foreclosure challenge

A federal judge last month dismissed a woman’s latest attempt to challenge her 2014 foreclosure in state court, finding the Colorado Supreme Court could not be sued for issuing the procedural rules that affected her case.

U.S. District Court Judge Charlotte N. Sweeney also dismissed Holly MacIntyre’s claim against JPMorgan Chase Bank, which the company called a “never-ending string of failed attempts to relitigate” the original foreclosure. To date, MacIntyre has brought her cause before Colorado’s federal trial court and appellate court, and Colorado’s state trial and appellate courts – to no avail.

MacIntyre owned property in Arvada, but JPMorgan Chase obtained a foreclosure judgment against her in 2014. MacIntyre attempted to halt the proceedings, including by filing a lawsuit against the state Supreme Court, but her property was sold in January 2016.

MacIntyre then mounted procedural challenges to the foreclosure in various venues, including in federal court. The U.S. Court of Appeals for the 10th Circuit ruled against MacIntyre three times.

Nevertheless, she persisted in filing another lawsuit against the Colorado Supreme Court, alleging it created an unconstitutional procedural rule by requiring losing parties to post monetary bond on appeal to prevent a judgment from taking effect. She also claimed JPMorgan Chase violated her rights because it was so intertwined with Colorado’s state court system that it was a government actor itself.

In April, U.S. Magistrate Judge S. Kato Crews recommended dismissing MacIntyre’s lawsuit, reasoning that the Supreme Court’s rulemaking power amounted to an act of legislation. Therefore, the court was entitled to the immunity afforded to legislators in their official duties.

Sweeney, the district judge, agreed.

Crews “correctly observed that the Colorado Supreme Court, by and through the Justices, had exercised its ‘legislative’ power under the Colorado Constitution” when it issued the procedural rules governing appeals, she wrote on June 28.

As for JPMorgan Chase, Sweeney also agreed that merely pursuing a foreclosure in state courts did not render it a government actor who could be sued for violating MacIntyre’s rights.

Two weeks after Sweeney’s decision, MacIntyre filed yet another complaint against the Supreme Court and JPMorgan Chase in federal court. It is largely identical to her other unsuccessful lawsuit.

At the same time she rejected MacIntyre’s claims, Sweeney also distanced herself from a 1985 ruling by a different federal judge in Colorado. Then-U.S. District Court Judge John C. Porfilio believed he could review the constitutionality of a state Supreme Court rule because asking state judges to evaluate the Supreme Court’s procedures would be “an apparent exercise in futility.”

“This was error, since the state courts indisputably have jurisdiction to hear challenges to the Colorado Supreme Court’s rules,” Sweeney wrote.

The case is MacIntyre v. The Supreme Court of Colorado et al.

FILE PHOTO: The Alfred A. Arraj U.S. Courthouse in downtown Denver.
Colorado Politics file photo

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