Holje v. Grano

Background

Gina M. Holje sued Lynn Grano in her individual capacity and as trustee of the Gina M. Holje Revocable Trust. Holje moved for default judgment under Federal Rule of Civil Procedure 55(b)(2). Grano moved under Rule 55(c) to set aside the entry of default and under Rule 12(b)(5) to dismiss the complaint for insufficient service of process.

Service of Process

Federal Rule of Civil Procedure 4(m) generally requires service within 90 days after a complaint is filed. The court explained that an extension is required when the plaintiff shows good cause for failing to serve the defendant on time. Examples of good cause include diligence by the plaintiff and a process server’s conduct causing the failure.

The court assumed, without deciding, that Holje had not properly served Grano. It found that Holje showed good cause. A process server began trying to serve Grano three days after the complaint was filed and made multiple attempts over 18 days, including a 16-hour stakeout over two days. The process server later attested that substitute service had been completed. The court found that Holje communicated with the process server during this period and reasonably relied on the process server’s affidavit when seeking entry of default.

Ruling

The court found that Holje acted diligently and that any failure to complete service resulted from the process server’s conduct. In the interest of resolving the dispute on its merits, the court ordered that Holje have 90 days from the date of the order to serve Grano.

The court ordered:

- Holje’s motion for default judgment is DENIED WITHOUT PREJUDICE. - Grano’s motion to set aside the entry of default and dismiss the complaint is DENIED WITHOUT PREJUDICE. - Holje shall have 90 days from May 7, 2025, to serve the complaint.

The order did not decide whether Holje’s claims ultimately succeed or whether Grano’s service objection ultimately prevails.