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S.D.N.Y.Procedural orderFiled Apr. 5, 2023

Fred Alston as a Trustee of the Local 272 Labor Management Pension Fund v. The…

Full caption

Fred Alston as a Trustee of the Local 272 Labor Management Pension Fund v. The Car Park Of New York, LLC

Judge
Vernon Broderick
Docket
1:23-cv-00212
Court
U.S. District Court · Southern District of New York
Pages
3
ErisaCivil ProcedureFee Petition
In one sentence

Fred Alston v. The Car Park of New York, LLC: Judge Broderick entered default judgment on liability and referred damages and fees for an inquest.

Who this affects

The plaintiffs obtained a default judgment establishing the defendant’s liability, while the defendant remains subject to an inquest to determine the amounts of damages, attorneys’ fees, and costs.

What happened

In Fred Alston, as a Trustee of the Local 272 Labor Management Pension Fund v. The Car Park of New York, LLC, the plaintiffs sought damages, interest, attorneys’ fees, and costs under federal law. The defendant was served but did not appear, answer, respond to the default-judgment request, or attend the hearing.

The court accepted the complaint’s allegations and found that the plaintiffs established the defendant’s liability under 29 U.S.C. § 1145. But the court found that the plaintiffs still had to prove the amount of damages, attorneys’ fees, and costs with reasonable certainty, so it ordered an inquest to determine those amounts.

Judge Vernon S. Broderick entered default judgment in the plaintiffs’ favor as to liability and referred the case to Magistrate Judge James L. Cott for the damages and fees inquiry. The plaintiffs also had to serve the order on the defendant and file proof of service by April 28, 2023.

The detailed version

For law students, journalists, and other readers who want the full reasoning

Case
Fred Alston as a Trustee of the Local 272 Labor Management Pension Fund v. The… · No. 1:23-cv-00212
Judge
Vernon Broderick
Date
Apr. 5, 2023

Background

The plaintiffs filed the action seeking damages, interest, attorneys’ fees, and costs under 29 U.S.C. §§ 1145 and 1132(g). The plaintiffs filed an affidavit stating that the defendant had been served on January 23, 2023. The defendant did not appear or file an answer.

The court warned the plaintiffs that the case could be dismissed for failure to prosecute if they did not take action. The Clerk then issued a certificate of default. The plaintiffs moved for default judgment and supported the motion with a declaration. The court issued an order requiring the defendant to show cause why default judgment should not be entered. The defendant did not appear, respond, or request additional time, and it did not attend the April 5, 2023 hearing.

Court’s analysis

The court found that it had federal-question subject-matter jurisdiction. It also found that the defendant had been properly served and was subject to personal jurisdiction because it was a limited liability company registered with the New York Secretary of State under New York law.

Accepting the complaint’s allegations as true, the court found that the plaintiffs had established the defendant’s liability under 29 U.S.C. § 1145. The court explained that a plaintiff seeking default judgment must prove damages with reasonable certainty. It found that an inquest—a proceeding to determine the amount owed—was necessary to decide damages, attorneys’ fees, and costs rather than simply accepting the plaintiffs’ statement of those amounts.

Disposition

Judge Vernon S. Broderick ordered that default judgment as to liability be entered in favor of the plaintiffs against the defendant. The court referred the action to Magistrate Judge James L. Cott for an inquest on the amount of damages, attorneys’ fees, and costs owed to the plaintiffs. The plaintiffs were ordered to serve the order on the defendant and file an affidavit confirming service by April 28, 2023. The order did not determine the amounts of damages, fees, or costs.

The authoritative version

Read the full 3-page opinion on CourtListener, the free public archive maintained by the Free Law Project.

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