Anderson v. 736 Willoughby Housing Development Fund Corporation

Background

On December 10, 2020, Judge Gardephe entered a default judgment against defendant 736 Willoughby Housing Development Fund Corporation (“Willoughby”). A default judgment is a judgment entered when a defendant does not defend the case. Judge Gardephe referred the case to Magistrate Judge James L. Cott to conduct an inquest into damages, meaning a review of the evidence needed to determine the amount of money, or other monetary relief, to award.

Proof Required for Damages

The court explained that a defendant’s default does not establish the amount of damages claimed in the pleadings. The plaintiffs therefore had to provide admissible evidence allowing the court to determine damages with reasonable certainty. The court identified detailed affidavits and documentary evidence as potential support.

Required Submissions and Deadlines

The plaintiffs had already filed motion papers and could either supplement those papers or confirm that they would submit nothing further because they believed the existing materials were sufficient. They had to do so by January 8, 2021, and serve Willoughby with a copy of the order. Any additional submission had to state the exact dollar amount or other monetary relief sought.

If the plaintiffs submitted proposed findings of fact, those findings had to connect the proposed damages to the claims on which liability had been established, explain how the figures were calculated, and cite supporting affidavit paragraphs or documentary pages. Any statements about liability also had to cite the complaint. A memorandum of law could be submitted instead of legal conclusions, but the plaintiffs’ papers still had to include an affidavit from a person with personal knowledge addressing liability, the proposed damages, and the court’s personal and subject-matter jurisdiction.

Requests for attorney’s fees had to include contemporaneous time records listing each attorney’s service date, hours, and work performed. Counsel also had to provide each attorney’s years of bar admission, hourly rate, any appropriate fee charts, the legal basis for the fee request, and documentary support for costs.

Willoughby was allowed to respond to the plaintiffs’ submissions by January 22, 2021.

Court’s Order

Judge Cott notified the parties that he might conduct the damages inquest solely through written submissions. A party seeking an evidentiary hearing had to explain why written submissions were insufficient and identify the witnesses and evidence that would be presented. The order established the procedure for determining damages; it did not award a specific amount or otherwise decide the amount of damages.