Dziedzic v. Pine Island Marina, LLC
72 A.3d 406
Conn. App. Ct.2013Background
- Plaintiff Jeff Dziedzic was general manager under a 2008–2013 employment contract with Pine Island Marina, LLC; contract promised $75,000 if the marina was sold in the third year.
- Defendant gave written notice of termination due to sale; the marina sold in January 2011. Plaintiff demanded the payment but defendant declined.
- Plaintiff obtained a prejudgment remedy and sued; defendant received service but did not appear, and a default was entered. A damages hearing resulted in a default judgment for $150,000 plus fees, costs, and interest.
- Defendant filed a motion to open the default judgment more than four months later, asserting it had been (mis)advised after dissolution of the LLC not to appear and offering an affidavit from a member (Wong).
- Trial court denied the motion to open, finding defendant had actual notice and consciously chose to ignore the proceedings; defendant appealed limited to the denial of the motion to open and a request to present Wong’s live testimony.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the trial court abused its discretion in denying motion to open default judgment | Default judgment should stand because defendant received notice and failed to show reasonable cause to reopen | Defendant argued it had reasonable cause: was advised (post-dissolution) not to act and had defenses to the claim | Affirmed. Court found actual notice and a conscious choice to ignore proceedings; negligence or erroneous advice does not constitute "reasonable cause" under § 52-212 |
| Whether movant showed a meritorious defense sufficient to open judgment | Plaintiff relied on default rule that pleadings' facts are established; defendant failed second prong burden | Defendant asserted several defenses in its motion/affidavit (contract/arbitration/CUTPA defenses) | Not reached on merits: because motion was untimely, court limited review to whether reasonable cause excused default and found none |
| Whether trial court erred in denying request to call Wong live at motion hearing | Plaintiff contended the court properly considered the affidavits and denied live testimony as unnecessary | Defendant argued Wong’s live testimony would explain why it failed to appear and support reasonable cause | Affirmed. Defendant offered the testimony but did not preserve the issue below after court said it would decide on the papers; appellate review precluded for failure to distinctly raise the claim at trial |
| Whether appellate review may reach merits (e.g., CUTPA/double damages or arbitration) | Plaintiff argued appeal must be limited to motion-to-open issues because appeal period on underlying judgment elapsed | Defendant sought review of merits (double damages, arbitration) via this appeal | Affirmed. Appeal limited to motion-to-open denial; merits not reviewable because motion was filed more than 20 days after judgment |
Key Cases Cited
- Smith v. Snyder, 267 Conn. 456, 839 A.2d 689 (Connecticut 2004) (default judgment conclusively establishes facts alleged in complaint)
- Walton v. New Hartford, 223 Conn. 155, 612 A.2d 1153 (Connecticut 1992) (motion to open is reviewed for abuse of discretion)
- Langewisch v. New England Residential Services, Inc., 113 Conn. App. 290, 966 A.2d 318 (Conn. App. 2009) (untimely motion-to-open limits appellate review to abuse-of-discretion in denying motion)
- Little v. Mackeyboy Auto, LLC, 142 Conn. App. 14, 62 A.3d 1164 (Conn. App. 2013) (movant on motion to open must show a good defense and reasonable cause for failing to raise it earlier)
- Giano v. Salvatore, 136 Conn. App. 834, 46 A.3d 996 (Conn. App. 2012) (negligence or erroneous advice is insufficient to show reasonable cause to open a default judgment)
- Postemski v. Landon, 9 Conn. App. 320, 518 A.2d 674 (Conn. App. 1986) (mistake, accident, or reasonable cause may justify opening but not negligence)
- Carter v. D’Urso, 5 Conn. App. 230, 497 A.2d 1012 (Conn. App. 1985) (trial court may consider amended, authenticated affidavits when ruling on a motion to open)