518 F.Supp.3d 810
D.N.J.2021Background:
- Plaintiff Joseph Barrett received injectable hCG in Dec. 2016 that allegedly came from Tri‑Coast Pharmacy; he developed systemic symptoms and later a bacterial infection requiring wrist surgery.
- Tri‑Coast issued a recall in May 2017 for contaminated products; Plaintiff learned of the contamination from the recall.
- Plaintiff sued Tri‑Coast and pharmacist/officer Kevin O’Connell asserting NJPLA, warranty, negligence, consumer‑fraud, IIED/NIED, and related claims; defendants were served but never answered.
- Clerk entered default; Plaintiff moved for default judgment. The Court analyzed jurisdiction, default prerequisites (including military‑service affidavit), whether claims are viable or subsumed by the NJPLA, and the Emasco default‑judgment factors.
- Court found a prima facie basis for specific personal jurisdiction over defendants and that Tri‑Coast’s NJPLA claims for manufacturing defect, design defect, and failure to warn were plausibly pleaded; many other common‑law claims were subsumed by the NJPLA.
- The motion was denied without prejudice: default judgment as to O’Connell denied for inadequate military affidavit; default judgment against Tri‑Coast stayed because the express‑warranty claim was not adequately pleaded/remaining and must be resolved or withdrawn before final judgment; a damages hearing was ordered if default is later entered.
Issues:
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Personal jurisdiction (specific) | Tri‑Coast and O’Connell purposefully directed contaminated products into NJ, causing Barrett’s injuries. | No responsive pleadings (no jurisdictional defense asserted). | Prima facie specific jurisdiction exists: minimum contacts and fair‑play factors satisfied. |
| Entry of default under Rule 55(a) | Service was effected; defendants failed to answer; clerk entered default. | No response from defendants. | Clerk entry of default was appropriate. |
| Viability of claims / NJPLA subsumption | Barrett asserts NJPLA counts plus negligence, CFA, warranties, IIED/NIED. | No response. | Most common‑law claims (negligence, negligence per se, implied warranty, CFA, IIED/NIED) are subsumed by the NJPLA; express‑warranty claim not adequately pleaded and must be resolved separately. Tri‑Coast plausibly alleged manufacturing defect, design defect, and failure‑to‑warn under NJPLA. |
| Default‑judgment prerequisites (military status; Emasco factors; damages) | Requests default judgment and damages (amount not a sum certain). | No appearance; no rebuttal. | O’Connell: default judgment denied without prejudice for failure to provide adequate military‑service affidavit. Tri‑Coast: Emasco factors favor default, but final default judgment deferred until express‑warranty claim is withdrawn/resolved; damages require evidentiary hearing. |
Key Cases Cited
- Chanel, Inc. v. Gordashevsky, 558 F. Supp. 2d 532 (D.N.J. 2008) (district court accepts well‑pleaded facts on default)
- Comdyne I, Inc. v. Corbin, 908 F.2d 1142 (3d Cir. 1990) (default admits well‑pleaded factual allegations)
- Hritz v. Woma Corp., 732 F.2d 1178 (3d Cir. 1984) (Third Circuit preference to decide cases on merits rather than by default)
- J. McIntyre Mach., Ltd. v. Nicastro, 564 U.S. 873 (U.S. 2011) (stream‑of‑commerce analysis for product contacts)
- World‑Wide Volkswagen Corp. v. Woodson, 444 U.S. 286 (U.S. 1980) (fair play and substantial justice forum factors)
- Burger King Corp. v. Rudzewicz, 471 U.S. 462 (U.S. 1985) (minimum contacts and purposeful availment principles)
- Telcordia Tech., Inc. v. Telkom SA Ltd., 458 F.3d 172 (3d Cir. 2006) (assessing nature of contacts for specific jurisdiction)
- Repola v. Morbark Indus., Inc., 934 F.2d 483 (3d Cir. 1991) (NJPLA provides exclusive product‑liability remedy)
- Myrlak v. Port Auth. of N.Y. & N.J., 157 N.J. 84 (N.J. 1999) (elements of a NJPLA claim)
- Chamberlain v. Giampapa, 210 F.3d 154 (3d Cir. 2000) (factors for setting aside default judgment / Emasco analysis)
