Greentree Financial Group, Inc.,v. World Nation Live Entertainment, Inc.

Filing 25

ORDER denying #23 Motion for Default Judgment. Renewed Motion due by 8/7/2017. Any such motion must be served on Sheldon Drobny, at the address listed in Docket No. 24. Signed by Magistrate Judge Nancy J. Koppe on 7/24/2017. (Copies have been distributed pursuant to the NEF - JM)

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UNITED STATES DISTRICT COURT

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DISTRICT OF NEVADA

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GREENTREE FINANCIAL GROUP, INC.,

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Plaintiff(s),

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vs.

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WORLD NATION LIVE ENTERTAINMENT,
INC.,

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Defendant(s).
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Case No. 2:16-cv-00972-GMN-NJK
ORDER
(Docket No. 23)

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Pending before the Court is Plaintiff’s renewed motion for entry of default judgment. Docket

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No. 23. On July 8, 2017, a response was served in opposition arguing, inter alia, that service was not

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properly effectuated in this case. Docket No. 24. Plaintiff did not file a reply, and the deadline for doing

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so has expired. See Local Rule 7-2(b).

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“A defendant’s default does not automatically entitle the plaintiff to a court-ordered judgment.”

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PepsiCo., Inc. v. Cal. Sec. Cans., 238 F. Supp. 2d 1172, 1174 (C.D. Cal. 2002). The Ninth Circuit has

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made clear that the Court has a duty to ensure that a defendant is properly before the Court prior to

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entering default judgment against it. Tuli v. Republic of Iraq, 172 F.3d 707, 712 (9th Cir. 1999). Hence,

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in deciding whether to grant a motion for default judgment, the Court is required to assess the adequacy

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of service of process on the party against whom default is requested. DFSB Kollective Co. v. Bourne,

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897 F. Supp. 2d 871, 877 (N.D. Cal. 2012). The party moving for default judgment bears the burden

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of showing that service was proper. Reynolds Innovations, Inc. v. E-CigaretteDirect, LLC, 851 F. Supp.

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2d 961, 963 (M.D.N.C. 2012). Conclusory assertions that service was properly effectuated fail to satisfy

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that burden. Doe v. Alsaud, 12 F. Supp. 3d 684, 687 (S.D.N.Y. 2014) (collecting cases).

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In this case, Plaintiff submitted a proof of service on the paralegal for the purported authorized

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agent of Defendant. Docket No. 20. The pending motion for default judgment states without

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elaboration that “Greentree perfected service” pursuant to that proof of service. Docket No. 23 at 2. The

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response to the motion explains that such service was ineffective, however, as the recipient of that

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service was not the registered agent of Defendant and that none of Defendant’s (or its successor’s)

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officers or directors received notice of this lawsuit. Docket No. 24 at 2.1

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The Court need not resolve herein the ultimate issue of whether service was effectuated. Instead,

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the Court concludes that Plaintiff’s conclusory statement that service was properly effectuated fails to

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satisfy its burden on that issue. Accordingly, the renewed motion for default judgment is hereby

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DENIED without prejudice. To the extent Plaintiff continues to seek default judgment, it must file its

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second renewed motion for default judgment by August 7, 2017, and such motion must address the

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sufficiency of service and all other required showings necessary to obtain default judgment. Any

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such motion must be served on Sheldon Drobny, at the address listed in Docket No. 24.

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IT IS SO ORDERED.

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DATED: July 24, 2017

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______________________________________
NANCY J. KOPPE
United States Magistrate Judge

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This response was filed pro se, and the Court construes it liberally. See, e.g., Berhardt v. Los
Angeles County, 339 F.3d 920, 925 (9th Cir. 2003)
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