Gannon v. 162 East Broadway LLC

Background

By an order dated May 13, 2022, Judge Lorna G. Schofield entered a default judgment against 162 East Broadway LLC and Raise Hospitality, LLC. The case was referred to Magistrate Judge Robert W. Lehrburger for an inquest, meaning a court process to determine the damages owed after liability was established by default. The opinion does not state the legal claims on which the default judgment was based.

Required submission

The order required Stephen Gannon to serve the defendants and file proposed findings of fact and conclusions of law concerning all damages and any other monetary relief allowed by the default judgment no later than June 13, 2022. The filing had to include a concluding paragraph stating the exact dollar amount or other monetary relief sought.

The proposed findings had to connect the requested damages to the legal claims on which liability had been established, explain how the amount was calculated, and cite supporting affidavits or documentary evidence. Gannon also had to submit an affidavit from a person with personal knowledge establishing the court’s personal jurisdiction over the defendants and subject-matter jurisdiction. Any allegations about liability had to cite the appropriate paragraphs of the complaint.

Attorney fees and legal argument

Any request for attorney fees had to include contemporaneous time records identifying, for each attorney, the date of service, hours worked, and work performed. The submission also had to state the attorneys’ years of bar admission, hourly rates, and information supporting the reasonableness of those rates, along with the legal basis for any fee award. In place of separate legal conclusions, Gannon could file a memorandum explaining the legal principles supporting the requested damages, interest, or attorney fees.

Defendants’ response and possible hearing

The defendants were permitted to respond to Gannon’s submissions by June 27, 2022. Judge Lehrburger stated that the damages inquest might be decided entirely from the parties’ written submissions. A party seeking an evidentiary hearing had to explain why written submissions would not be sufficient and describe the witnesses and evidence that would be presented.

Disposition

Judge Lehrburger ordered the specified submissions and service. The order did not award a damages amount, decide whether attorney fees or other monetary relief would be granted, or state that an evidentiary hearing would occur.