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This decision reverses the trial court's denial of defendant's motion to set aside a default judgment and the underlying default under CCP 473.5 and for extrinsic mistake or fraud.  Plaintiff lent to defendant's CEO, who without authority pledged defendant's assets as collateral for the loan, which he invested in a Ghanaian scam.  Plaintiff filed suit against the CEO and defendant,… Read More

This decision reverses an order granting defendants equitable relief from a default and default judgment.  A court’s ability to grant relief under its inherent equitable power is narrower than its ability to grant relief under CCP 473(b)  Equitable relief from a default judgment may be granted only in exceptional circumstances, and the party moving for such relief must make a… Read More

While a default judgment may not award damages in an amount greater than that alleged in the complaint, it is not necessary to plead the amount of prejudgment interest, costs or attorney fees.  A default judgment which may otherwise properly award prejudgment interest, costs and attorney fees may do so even if the total judgment, including those items, exceeds the… Read More

A defendant against whom a default has properly been entered is not entitled to service of notice of hearing on entry of default judgment or to service of a copy of the evidence submitted in support of the default judgment.  Also, since the defaulted defendant has no right to participate in the prove-up hearing, it cannot show any prejudice from… Read More

The trial court did not abuse its discretion in denying the defendant's motion to dismiss two of the consolidated cases for failure to bring them to trial within five years.  Even though plaintiffs could have taken these defendants' defaults since they hadn't answered, the court could reasonably conclude that these complex consolidated actions could not have been prosecuted to judgment… Read More

A default judgment was vacated as it exceeded the sum prayed for in the indemnity cross-complaint on which it was based, even though it incorporated by reference the complaint which asked for $10 million. Read More

When a plaintiff seeks a default judgment, the trial court must act as gatekeeper, disallowing recovery if the complaint fails to allege a viable cause of action.  Read More