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Marble Bridge Funding Group, Inc v. Natures Own Pharmacy, LLC
5:12-cv-01839
N.D. Cal.
Aug 28, 2017
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Background

  • Plaintiff Marble Bridge Funding Group (MBFG) moved for default judgment against defendants Nature’s Own Pharmacy, LLC (NOP) and Annette Zimmerman a.k.a. Marsha/Kay Holloway (Holloway).
  • MBFG filed suit in 2012; NOP and Holloway were served, initially responded, then abandoned their defense and failed to oppose the default-judgment motion.
  • MBFG seeks $2,823,321.56 in damages arising from alleged extensive fraudulent conduct involving factoring payments.
  • The court considered the Eitel factors (Ninth Circuit) to determine whether to enter default judgment under Federal Rule of Civil Procedure 55(b).
  • The court found MBFG’s complaint facially sufficient, no material facts were disputed by the nonappearing defendants, and default was unlikely due to excusable neglect.
  • The court granted the motion for default judgment against NOP and Holloway but deferred entry of final judgment pending MBFG’s statement about resolution of claims against remaining defendants.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether default judgment should be entered under Rule 55(b) MBFG argued defendants failed to defend, complaint is sufficient, damages are established, and Eitel factors favor judgment NOP and Holloway did not respond to contest any facts or oppose the motion Court granted default judgment; Eitel factors weighed in favor of entry, but final entry deferred for case-status statement

Key Cases Cited

  • Aldabe v. Aldabe, 616 F.2d 1089 (9th Cir. 1980) (default judgment is discretionary)
  • Eitel v. McCool, 782 F.2d 1470 (9th Cir. 1986) (sets seven-factor test for default-judgment decisions)
  • Televideo Sys., Inc. v. Heidenthal, 826 F.2d 915 (9th Cir. 1987) (well-pled allegations taken as true except damages)
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Case Details

Case Name: Marble Bridge Funding Group, Inc v. Natures Own Pharmacy, LLC
Court Name: District Court, N.D. California
Date Published: Aug 28, 2017
Docket Number: 5:12-cv-01839
Court Abbreviation: N.D. Cal.