Fanning v. Warner Center, L.P.
2013 U.S. Dist. LEXIS 167836
| D.D.C. | 2013Background
- Central Pension Fund (multiemployer ERISA plan) alleges Warner Center, L.P. failed to pay required pension contributions under collective-bargaining/participating agreements.
- A payroll audit (covering Jan. 2010–Dec. 2012) showed unpaid contributions; after suit Warner Center paid $6,841.79, leaving unpaid the auditor’s fee and plaintiffs’ attorneys’ fees/costs.
- Plaintiff filed an amended complaint seeking recovery of the audit fee, attorneys’ fees/costs, and an updated audit for Jan. 2012–present because Warner Center ceased filing remittance reports after March 2012.
- Warner Center failed to answer; the Clerk entered default and plaintiff moved for default judgment under Fed. R. Civ. P. 55(b)(2).
- The Court independently assessed damages and found Warner Center owes $2,200 (audit fee) and $2,075 (attorneys’ fees/costs), for a total judgment of $4,275.
- The Court also ordered equitable relief: Warner Center must submit to an audit for Jan. 2012–present and remit any additional delinquent contributions, interest, liquidated damages, and audit costs discovered.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether default judgment is appropriate after Warner Center failed to respond | Entry of default and default judgment are warranted under Fed. R. Civ. P. 55 because Warner Center did not plead or defend | No response submitted to assert defenses or seek relief from default | Court granted default judgment — defendant was "totally unresponsive" and default was willful |
| Whether plaintiff may recover auditor’s fee and attorneys’ fees/costs under ERISA § 1132(g)(2) | Fund seeks $2,200 auditor fee and $2,075 attorneys’ fees/costs as allowable costs and fees under ERISA | No opposing argument presented in record | Court awarded $2,200 (audit) and $2,075 (fees/costs) based on declarations |
| Whether equitable relief (audit of payroll records Jan. 2012–present) is proper | Fund requests injunction compelling audit, citing employer’s failure to cooperate and to file remittance reports | No opposition presented | Court ordered audit and required defendant to remit any additional amounts found, plus applicable charges |
| Whether Court must independently determine damages despite default | Fund submitted detailed declarations to support specific sums requested | No contest | Court independently reviewed evidence and fixed the judgment amount at $4,275 |
Key Cases Cited
- Jackson v. Beech, 636 F.2d 831 (D.C. Cir. 1980) (trial court discretion in granting default judgment)
- Flynn v. Mastro Masonry Contractors, 237 F. Supp. 2d 66 (D.D.C. 2002) (detailed affidavits may support damages in default judgment; audit injunction appropriate relief)
- Int’l Painters & Allied Trades Indus. Pension Fund v. ZAK Architectural Metal & Glass LLC, 635 F. Supp. 2d 21 (D.D.C. 2009) (ordering employer to permit an audit is an appropriate equitable remedy)
- Adkins v. Teseo, 180 F. Supp. 2d 15 (D.D.C. 2001) (default establishes liability for well-pleaded allegations but court must independently determine damages)