Polanco v. Bioskin Laser LLC

Background

Viktoryia Polanco sued Bioskin Laser LLC, Bioskin Laser II LLC, and Santa Vaynshenker for alleged violations of the Fair Labor Standards Act and the New York Labor Law. The complaint was filed on February 23, 2023. After proof of service was filed, none of the defendants appeared or responded. The clerk entered certificates of default against each defendant on April 5, 2023.

Polanco moved for a default judgment on September 18, 2023. On February 28, 2024, the Court gave the defendants an opportunity to oppose that motion. Defense counsel appeared on March 4, 2024, and filed opposition papers. Counsel stated that Vaynshenker had emailed him the summons and complaint when they were served, but that the materials had apparently gone into his spam folder.

Court’s Analysis

Federal Rule of Civil Procedure 55(c) allows a court to relieve a party from a clerk’s entry of default when the party shows “good cause.” The court considered three factors: whether the default was willful, whether setting it aside would prejudice Polanco, and whether the defendants had presented a potentially meritorious defense.

The court found that the default was not willful because the defendants appeared within days after learning about the pending default-judgment motion. Vaynshenker also submitted an affidavit disputing the allegations and attached Polanco’s handwritten timesheets, pay records, and communications concerning her employment status.

The court found no prejudice to Polanco. It explained that delay alone is not enough to show prejudice and that Polanco had not shown that the delay caused the loss of evidence, made discovery more difficult, or increased the opportunity for fraud or collusion.

The court also found that the defendants had met the low threshold for presenting a meritorious defense. Vaynshenker asserted that Polanco never worked more than 20 to 30 hours in a week and that she had paid all hours Polanco presented for payment. The attached timesheets and pay records raised issues that could refute Polanco’s wage claims if proven at trial.

Ruling

Judge Jennifer H. Rearden denied Polanco’s motion for a default judgment. The Court found good cause to set aside the clerk’s entries of default and vacated the certificates of default. The parties were ordered to file a joint letter by October 10, 2025, updating the Court on the matter’s status and proposing next steps. The opinion did not decide the ultimate merits of Polanco’s wage claims.