Hill v. Willamette Falls Paper Co., Inc.
3:24-cv-01729
D. Or.Jun 3, 2025Background
- Sarah Hill, on behalf of a putative class, sued Willamette Falls Paper Co., Inc. for violating the Worker Adjustment and Retraining Notification Act (WARN Act) after an immediate mass layoff.
- Hill alleges her and at least 158 others were terminated on August 6, 2024, without the required 60-day advance notice under the WARN Act.
- Hill filed suit on October 11, 2024; the defendant was properly served but did not appear or respond.
- Plaintiff moved for and obtained entry of default, then moved for default judgment, seeking $5,847.60 in damages.
- The Court had to determine whether to grant default judgment and, if so, the proper amount of damages under the WARN Act.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Sufficiency of WARN Act Claim | Willamette violated WARN by failing notice | No response (default) | Plaintiff sufficiently alleged WARN violation |
| Proper Sum of Damages Under WARN | Damages should include wages and some benefits | No response (default) | Damages granted, excluding unsupported benefits |
| Entry of Default Judgment | Plaintiff is prejudiced w/o recovery | No response (default) | Default judgment warranted |
| Calculation of Average Daily Pay Rate | Proposed daily rate based on pay records | No response (default) | Court accepts wage calc, not benefits |
Key Cases Cited
- DIRECTV, Inc. v. Hoa Huynh, 503 F.3d 847 (9th Cir. 2007) (on default, well-pleaded facts are taken as true, except for damages)
- Derek Andrew, Inc. v. Poof Apparel Corp., 528 F.3d 696 (9th Cir. 2008) (default judgment standards for damages and admissions)
- Eitel v. McCool, 782 F.2d 1470 (9th Cir. 1986) (factors for granting default judgment)
- Geddes v. United Fin. Grp., 559 F.2d 557 (9th Cir. 1977) (facts in default judgment context)
- Aldabe v. Aldabe, 616 F.2d 1089 (9th Cir. 1980) (discretion in default judgments)
- Burns v. Stone Forest Indus., Inc., 147 F.3d 1182 (9th Cir. 1998) (WARN Act damages are for each work day in 60-day period)