On December 15, 1982, plaintiff Tandy Computer Leasing entered into a computer equipment lease with defendant Video X Home Library, which lease disclaimed all responsibility for the operation, design or fitness for any particular purpose of the computer equipment. When a dispute arose regarding the inability of the computer system to carry out the record-keeping requirements of defendant’s business, defendant stopped making rental payments. Plaintiff subsequently commenced this action in August of 1984 to recover.
Defendant’s prior attorney, Joel Steinberg, and plaintiff’s counsel, Richard A. Sarner, entered into settlement negotiations, during which Sarner granted defendant numerous extensions of time to serve its answer, the last extension being until March 27, 1985. On June 5, 1985, plaintiff moved for a default judgment which Justice Sandifer granted by order and judgment (one paper) entered June 26, 1985. Plaintiff served defendant with notice of entry of this order and judgment to which defendant raised no objection. Plaintiff then executed against defendant’s bank account, from which, after deductions for the Sheriff’s poundage fees, it received $8,901.27.
On or about October 18, 1985, defendant moved to vacate its default and the June 26, 1985 order and judgment. It submitted affidavits from its president and new attorney, alleging that service was improper and that defendant had a meritori
The order appealed from must be reversed. Under CPLR 5015 (a) (1), in order to vacate a default judgment, the moving party must demonstrate both a valid excuse for the default and a meritorious defense to the underlying action. (Wagenknecht v Government Employees Ins. Co.,
