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24. Is the court likely to grant the farmer's motion for default judgment against the manufacturer?
The manufacturer failed to appear or otherwise defend. The farmer then presented the appropriate affidavit to the court clerk to enter default against the non-appearing manufacturer. Two months later, the farmer applied to the court for a default judgment against the manufacturer.
A farmer sued a chemical plant and a manufacturer in federal court alleging that they were liable to the farmer for damages caused to the farmer's property by chemical emissions from their respective plants. The chemical plant answered the farmer's complaint, denying that its plant emitted the chemical identified by the farmer and denying that the chemical was capable of producing the harm the farmer claimed to have suffered.
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A default must be entered before default judgment may be sought. Then, a party may apply to the court for default judgment. In cases where there is not a sum certain in dispute, the party must apply to the court for a default judgment.
If the party against whom a default judgment is sought has appeared personally or by a representative, that party or its representative must be served with written notice of the application at least seven days before the hearing.
A is correct. The most important fact to note in this question is that there are two defendants: the chemical plant and the manufacturer. The chemical plant answered the complaint, the manufacturer did not. The call of the question asks specifically about the manufacturer.
Under FRCP 55 governing default judgments, after a default has been entered by the clerk, the non-defaulting party may apply to the court for default judgment.
Here, following a hearing, the court may enter a default judgment against a party when a party fails to plead or defend. By not answering the farmer's complaint, the manufacturer failed to defend itself despite having the opportunity to do so. Therefore, upon the motion of the farmer, a default judgment is appropriate.
B is incorrect. FRCP 55(b)(2) states «if the party against whom a default judgment is sought has appeared personally or by a representative, that party or its representative must be served with written notice of the application at least 7 days before the hearing.» Here, the facts clearly indicate the manufacturer failed to appear. Thus, pursuant to the FRCP, the manufacturer is not entitled to any notice of the default judgment hearing.
C is incorrect. A default judgment may be entered once a party fails to plead or otherwise defend. The FRCP does not require this type of motion to be made only after a case has proceeded to trial. Thus, this is an incorrect statement of the FRCP.
D is incorrect. A determination that the chemical plant alone may have caused the damages to the farmer's property will not protect the manufacturer. The manufacturer had an opportunity to reply to the farmer's complaint with a defense and failed to do so. Thus, this is also an incorrect statement of the FRCP.