Ananian v. Sabadell United Bank, N.A.

Filing 44

ORDER TO SHOW CAUSE Show Cause Response due by 10/6/2016. Signed by Judge Maria-Elena James on 9/26/2016. (mejlc3, COURT STAFF) (Filed on 9/26/2016)

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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF CALIFORNIA

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DIANE ANANIAN, et al.,

Case No. 16-cv-01535-MEJ

Plaintiffs,
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v.

ORDER TO SHOW CAUSE

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SABADELL UNITED BANK, N.A.,
Defendant.

United States District Court
Northern District of California

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Defendant’s counsel repeatedly has missed deadlines and failed to comply with Court

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Orders. See First Order to Show Cause, Dkt. No. 30 (citing prior failures). Based on counsel’s

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response to the First Order to Show Cause (Resp., Dkt. No. 36), the Court hit a “reset” button on

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August 8, 2016 and allowed the parties to move forward and litigate the merits of the case. Order,

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Dkt. No. 40. The Court specifically reserved “the right to sanction counsel for Defendant if he

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misses another deadline, ignores another court order, or fails to meaningfully participate in this

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action.” Id. at 1.

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Prior to that Order, the Clerk of the Court had entered default against Defendant on August

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2, 2016 as Defendant had yet to file a responsive pleading in the action. See Dkt. Nos. 35, 39.

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However, in the parties’ Joint Case Management Statement, filed on August 29, 2016, Defendant

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represented it would “promptly” file a motion to dismiss pursuant to Federal Rule of Civil

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Procedure 12(b)(6). Joint Case Mgmt. Stmt. at 9, 11, 12, 15, Dkt. No. 41.

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On September 2, 2016, the Court acknowledged Defendant’s representation it would file a

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motion to dismiss “promptly” and noted that before filing the motion, Defendant would need to set

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aside the default that had been entered: “Unless the parties stipulate to doing so, Defendant must

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move to set aside the entry of default as soon as practicable if it intends to defend this action.

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Should Defendant fail to do so, Plaintiffs may file a motion for default judgment.” Order re: Case

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Mgmt. Stmt., Dkt. No. 42. As of the date of this Order, Defendant has not moved to set aside the

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entry of default, nor has it moved to dismiss the action.
In view of the foregoing, the Court hereby ORDERS Defendant Sabadell United Bank,

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N.A., to show cause as to why the Court should not consider Defendant’s failure to comply with

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Court-ordered deadlines and failure to litigate this action as an admission that it does not intend to

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defend itself against Plaintiffs’ claims. Defendant shall file a declaration by October 6, 2016. If a

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responsive declaration is filed, the Court shall either issue an order based on the declaration or set

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a hearing. Notice is hereby provided that failure to file a written response will be deemed an
admission that Defendant does not intend to defend this action and Plaintiffs may immediately file

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United States District Court
Northern District of California

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a motion for default judgment as well as a motion for attorney’s fees and costs.1 Thus, it is

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imperative that the Court receive a written response by the deadline above.
IT IS SO ORDERED.

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Dated: September 26, 2016
______________________________________
MARIA-ELENA JAMES
United States Magistrate Judge

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The Court is contemporaneously filing its Notice re: Default Judgment Procedure for Plaintiffs to
utilize in the event Defendant does not comply with this Order.
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