IN its third status report, the NMI Settlement Fund, through attorney Nicole Torres-Ripple, has asked the federal court to make a ruling on the NMISF’s overpayment claim against the Estate of Manuel Borja Villagomez.
Despite extensive settlement efforts over the past nine months and substantial concessions, the parties are not able to reach a settlement, Torres-Ripple said.
“The parties engaged in multiple informal settlement discussions, but have not been able to settle this claim. The Settlement Fund believes that a significant factor preventing settlement is the Administratrix’s refusal to engage in mandatory mediation through the Settlement Fund’s administrative process on the basis that she (or the Estate) is not subject to the Settlement Fund Appeal Rules and Procedures,” Torres-Ripple added.
The NMISF has requested the District Court for the NMI to intervene and order a stay in the probate proceeding of the Estate of Manuel Villagomez in the CNMI Superior Court.
Manuel B. Villagomez, who passed away on May 10, 2021, was a member of the Settlement Class at the time of his death.
The NMISF claimed an overpayment to the decedent in the amount of $45,680.36 calculated as of April 30, 2012.
The NMISF later reduced its overpayment claim to $12,717.73.
According to its emergency motion, the NMISF has a claim against the Estate of Manuel Villagomez based on an overpayment in retirement benefits paid prior to his passing.
The NMISF said it is a creditor of the estate, and it timely filed a Notice of Claim in the Probate Action in Superior Court on Nov. 1, 2021.
The NMISF seeks a stay, injunction and declaratory relief for the probate case in Superior Court, 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.
Torres-Ripple is requesting the federal court to issue a ruling because the probate court is moving forward.
“At a December 1, 2022 status conference in the Probate Action, the Administratrix attempted to schedule a briefing on the Settlement Fund’s pending claim, and submitted a proposed order on December 2, 2022, to adjudicate the Settlement Fund’s Claim,” Torres-Ripple said.
The NMI Settlement Fund objected to the proposed order, she added.
Torres-Ripple said, “The Administratrix refuses to participate in the administrative appeals process, including mandatory mediation; and the Administratrix is now actively attempting to adjudicate the Settlement Fund’s claim in the Probate Action instead of the administrative appeals process, which is the exclusive remedy and forum for litigating claims for overpayment against Class Members, including the Estate of Manuel B. Villagomez.”
She said, “The risk of inconsistent rulings, multiple litigation and financial loss to the Settlement Fund is significant.”
