City National Bank of West Virginia NA v. Portell

Filing 19

ORDER granting 12 Motion for Default Judgment. Judgment is entered in favor of plaintiff City National Bank of West Virginia and against defendant Donald J. Portell in the amount of $875,774.82 and postjudgment interest at a rate of $92.90407 per day accruing from February 1, 2013 until paid in full. Signed by Chief Judge David R. Herndon on 3/19/2013. (mtm)

IN THE UNITED STATES DISTRICT COURT
FOR THE SOUTHERN DISTRICT OF ILLINOIS
CITY NATIONAL BANK OF WEST VIRGINIA,
Plaintiff
v.
DONALD J. PORTELL,
Defendant.

12-cv-1237-DRH-SCW
ORDER AND DEFAULT JUDGMENT

HERNDON, Chief Judge:
I.

INTRODUCTION

Pending before the Court is plaintiff City National Bank of West Virginia’s
renewed motion for default judgment (Doc. 12).

Plaintiff requests an Order

awarding it money damages in the amount of $875,774.82, including postjudgment interest at a rate of $92.90407 per day accruing from February 1, 2013,
until paid in full. For the following reasons, plaintiff’s motion is GRANTED.
II.

FINDINGS

1.

Jurisdiction and venue are proper in this Court.

2.

On December 5, 2012, plaintiff filed its complaint against defendant

Donald J. Portell. Count I for breach of contract alleges defendant’s default in
payment of the Renewed Note. It seeks $860,819.79, plus interest accruing from
and after December 4, 2012 at $92.90407 per diem. Count II for recovery of
attorneys’ fees alleges the loan documents require defendant to reimburse plaintiff
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for all costs and expenses, including attorneys’ fees associated with this action. It
seeks attorneys’ fees, expenses, and costs incurred by plaintiff to prosecute this
action.
3.

Defendant was properly served with copies of the complaint and
summons on December 17, 2012 (Doc. 4).

4.

To date, defendant has not filed a response to plaintiff’s complaint.

5.

Defendant is therefore in default.

6.

Entry of default pursuant to Federal Rule of Civil Procedure 55(a)

was entered against defendant on January 24, 2013 (Doc. 7). Plaintiff sent notice
of the Clerk’s default entry to defendant’s last known address on January 25,
2013 (Doc. 9); SDIL-LR 55.1(a).
7.

Plaintiff’s instant renewed motion for default judgment pursuant to

Federal Rule of Civil Procedure 55(b) states that the renewed motion was sent to
defendant’s last known address and that plaintiff has no knowledge regarding
whether defendant is represented by counsel. See SDIL-LR 55.1(b).
8.

On February 15, 2013, defendant contacted and retained counsel

(Doc. 16). Defendant’s newly retained counsel moved for and received an
extension of time to answer or otherwise plead in response to the complaint and
to respond to plaintiff’s motion for default judgment. Thus, defendant was granted
up until March 11, 2013 to (a) respond to plaintiff’s motion for entry of default
judgment and (b) answer or otherwise respond to plaintiff’s complaint (Doc. 18).
March 11, 2013 has since passed and defendant has not responded to plaintiff’s

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motion for entry of default judgment or otherwise responded to plaintiff’s
complaint. Thus, there is no just reason for delay.
III.
FEDERAL RULE

OF

LAW AND APPLICATION

CIVIL PROCEDURE 55 authorizes a party to seek a default

judgment. Under this rule, the Court may enter a judgment by default when the
non-moving party has “failed to plead or otherwise defend” itself. FED. R. CIV. P.
55(a).

The decision to grant or deny default judgment lies within the district

court’s discretion. Homer v. Jones-Bey, 415 F.3d 749, 753 (7th Cir. 2005). “As
a general rule, a ‘default judgment establishe[s], as a matter of law, that
defendants [are] liable to plaintiff as to each cause of action alleged in the
complaint,’” as long as plaintiff’s allegations are well-pleaded. Dundee Cement
Co. v. Howard Pipe & Concrete Products, Inc. 722 F.2d 1319, 1323 (7th Cir.
1983) (citing Breuer Electric Mfg. Co. v. Toronado Systems of America, Inc., 687
F.2d 182, 186 (7th Cir. 1982)).

Plaintiff must then establish a right to the

requested relief sought. In re Catt, 368 F.3d 789, 793 (7th Cir. 2004).
The Court finds default judgment in favor of plaintiff and against defendant
is warranted in this instance on the basis of the above findings and the assertions
of plaintiff’s motion (Doc. 12). As to the proper amount, a party obtaining a
default judgment in its favor is not entitled to an award “exceed[ing] [the] amount”
demanded in the pleadings. FED. R. CIV. P. 54(c). Further, allegations within the
complaint regarding damages are not deemed true upon the rendering of a default
judgment. In re Catt, 368 F.3d at 793 (citations omitted); Dundee Cement Co.,

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722 F.2d at 1323 (citations omitted). Instead, the district court must determine
with reasonable certainty the proper amount to award as damages to the
prevailing party.

Id.

The Court may base its determination either upon an

evidentiary hearing or from “definite figures contained in the documentary
evidence or in detailed affidavits.”

Dundee Cement Co., 722 F.2d at 1323

(citations omitted); see also In re Catt, 368 F.3d at 793.
As to the amounts plaintiff seeks, plaintiff requests $860,819.79,
representing the outstanding balance due and owing under the loan documents on
December 4, 2012. Further, plaintiff seeks interest at a rate of $92.90407 per
day, amounting to $5,295.53, as of January 31, 2013. Thus, plaintiff requests a
current outstanding balance due and owing under the loan documents amounting
to $866,115.32. Finally, plaintiff seeks attorneys’ fees, legal expenses, and court
costs incurred in this action in the amount of $9,659.50. Thus, in sum, plaintiff
seeks an award in the amount of $875,774.82, with post-judgment interest at a
rate of $92.90407 per day accruing from February 1, 2013 until paid in full.
Upon careful review of the record, the Court finds plaintiff’s renewed
motion adequately demonstrates the bases of calculation and has provided the
necessary documentation as to the requested amounts (See Docs. 12-2, 12-3, 124, and 13). Thus, the Court is satisfied to a reasonable certainty that the amounts
sought are correct. Therefore, IT IS ORDERED AND ADJUDGED that plaintiff’s
renewed motion for default judgment is GRANTED (Doc. 12).

Accordingly,

judgment is entered in favor of plaintiff City National Bank of West Virginia and

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against defendant Donald J. Portell in the amount of $875,774.82 and postjudgment interest at a rate of $92.90407 per day accruing from February 1, 2013
until paid in full. The Clerk is instructed to close the file.
IT IS SO ORDERED.
Signed this 19th day of March, 2013.

Digitally signed by
David R. Herndon
Date: 2013.03.19
10:04:26 -05'00'
Chief Judge
United States District Court

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