THE NMI Settlement Fund is now claiming $12,717.73 from the Estate of Manuel B. Villagomez, attorney Robert T. Torres informed the federal court on Monday.
Torres, who represents the estate and its administrator, filed his client’s notice of rejection and disallowance of the second amended claim by the NMI Settlement Fund for the amount of $12,717.73.
“Previously the Trustee had reduced the original claim from $56,913.77 to $19,584.95. On May 6, 2022, the Trustee further reduced the Fund’s claim from $19,584.95 to $12,717.73,” Torres said.
However, he added, the estate administrator finds that the trustee’s claim is unsupported by the plain meaning of “salary” as to the decedent’s salary.
“The second amended claim is also timed-barred by the CNMI Statute of Limitations,” Torres said. “The administrator maintains that the issue of determination of the viability of the claim should be adjudicated by the Superior Court or alternately, this court by applying the CNMI Statute of Limitations.”
As previously suggested, Torres said, another option is for the court to pose the certified question to the CNMI Supreme Court on whether the CNMI Statute of Limitations of six-years applies to the NMISF claim and the date when the statute is construed to start running.
Torres also asked the federal court to deny the NMI Settlement Fund’s request to issue an order of stay and intervene in the probate proceedings of the decedent.
The Settlement Fund and its trustee Joyce Tang are represented by attorney Nicole Torres-Ripple.
The NMI Settlement Fund said it has a claim against the Estate of Manuel Villagomez based on an overpayment in retirement benefits paid prior to his passing.
Villagomez, who passed away on May 10, 2021, was a member of the Settlement Class.
The Settlement Fund said it is a creditor of Villagomez’s estate, and it timely filed a notice of claim in the probate action in Superior Court on Nov. 1, 2021.
The Settlement Fund seeks a stay, injunction and declaratory relief and an order declaring that the District Court for the NMI has exclusive jurisdiction over any matters pertaining to or arising under the Settlement Agreement.
For his part, Torres stated that the particular facts of this matter “warrant abstention by the federal court” so that the issue of the claim against the estate should remain before the NMI probate court.
Torres noted that the NMISF is seeking a ruling that the exclusive forum for adjudicating the monetary claim against the estate is not before the CNMI Superior Court in probate proceedings, but with the NMISF administrative appeals process approved by the District Court of the NMI.
Torres said when the decedent died, his property/estate and claims against him, including that of the NMISF, were subject to the CNMI Probate Code in CNMI probate court.
The administrative proceeding against the decedent was “no more” after he died since the NMISF never afforded him that due process, Torres added.
