Stratas Foods LLC v. J.B. Cusick Company, Inc., 2:24-cv-02414

Plaintiff Stratas Foods LLC (a supplier of fats, oils, and related products) and Defendant J.B. Cusick Company, Inc. (a California food broker) entered a Credit Application agreement on October 17, 2022.
Under the agreement, Defendant was to pay all invoices within stated terms and be liable for collection costs if delinquent.
Between May and June 2024, Plaintiff delivered oil to Defendant and issued three unpaid invoices totaling $198,936.
Despite multiple service attempts and proper service via the California Secretary of State, Defendant never appeared or responded.
Plaintiff filed suit for breach of contract and other state law claims, later moving for default judgment on breach of contract.
The court addressed jurisdiction, sufficiency of service, and assessed Plaintiff’s evidence of damages, prejudgment interest, and costs.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Breach of contract liability	Defendant failed to pay for delivered goods under contract	No response or defense	For Plaintiff
Sufficiency of service	Service was proper under California law and federal rules	No argument	Service was proper
Damages (principal, interest, costs)	Amounts claimed are tied to unpaid invoices and collection costs	No argument	Full damages, interest, and costs
Entry of default judgment under Eitel factors	All Eitel factors favor default judgment given uncontested evidence	No response	All factors favor default judgment

PepsiCo, Inc. v. Cal. Sec. Cans, 238 F. Supp. 2d 1172 (C.D. Cal. 2002) (sets out standards for default judgment)
Eitel v. McCool, 782 F.2d 1470 (9th Cir. 1986) (articulates the relevant factors for default judgment)
Fair Hous. of Marin v. Combs, 285 F.3d 899 (9th Cir. 2002) (well-pleaded allegations are deemed true after default)
Oasis W. Realty, LLC v. Goldman, 51 Cal.4th 811 (Cal. 2011) (sets elements for breach of contract under California law)