Wednesday, August 12, 2020

default judgment - opening - timeliness

Scala v. KWS, Inc. – Pa. Super. – reported decision – August 11, 2020

 

http://www.pacourts.us/assets/opinions/Superior/out/J-A13021-20o%20-%20104511452108811397.pdf?cb=1

 

Held: Refusal to open default judgment against defendant affirmed in products liability case brought by laborer who suffered partial amputation while working on construction site.

 

Requirements to open-- A petition to open a default judgment is addressed to the equitable powers of the court and the trial court has discretion to grant or deny such a petition. The party seeking to open the default judgment must establish three elements: (1) the petition to open or strike was promptly filed; (2) the default can be reasonably explained or excused; and (3) there is a meritorious defense to the underlying claim. 

Standard of review - The court’s refusal to open a default judgment will not be reversed on appeal unless the trial court abused its discretion or committed an error of law. An abuse of discretion is not merely an error in judgment; rather it occurs when the law is overridden or misapplied, or when the judgment exercised is manifestly unreasonable or the result of partiality, prejudice, bias or ill-will. Moreover, this Court must determine whether there are equitable considerations that weigh in favor of opening the default judgment and allowing the defendant to defend the case on the merits. Where the equities warrant opening a default judgment, this Court will not hesitate to find an abuse of discretion. Stabley v. A&P, 89 A.3d 715, 719 (Pa. Super. 2014) (quoting Castings Condominium Ass’n, Inc. v. Klein, 663 A.2d 220, 222-23 (Pa. Super. 1995))

Timeliness - In Kelly v. Siuma, 34 A.3d 86 (Pa. Super. 2011) and Supreme Court’s decision in Queen City Elec. Supply Co., Inc. v. Soltis Elec. Co., Inc., 421 A.2d 174 (Pa. 1980), the courts said that Pennsylvania courts have not established a specific time period within which a petition to open a default judgment must be filed to qualify as timely. Instead, the court must consider the length of time between discovery of the entry of the default judgment and the reason for delay. It is well established that where equitable circumstances exist, a default judgment may be opened regardless of the time that may have elapsed between entry of the judgment and filing of the petition to open.

The timeliness of a petition to open a judgment is measured from the date that notice of the entry of the default judgment is received. In cases where the appellate courts have found a ‘prompt’ and timely filing of the petition to open a default judgment, the period of delay has normally been less than one month. See Ducksonv.WeeWheelers,Inc.,[]620A.2d 1206 (Pa. Super. 1993)(one day is timely);Alba v. Urology Associates of Kingston, [] 598 A.2d 57 (Pa. Super. 1991) (fourteen days is timely); Fink v. General Accident Ins. Co., [] 594 A.2d 345 (Pa. Super. 1991) ([] five days is timely). [US Bank N.A. v. Mallory, 982 A.2d 986, 995 (Pa. Super. 2009)] (quotation omitted) (finding eighty-two day delay was not timely). Kelly, 34 A.3d at 92.