Rios v. Day et al

Filing 66

DEFAULT JUDGMENT in favor of Frank A. Rios against Carolina Yacht Sales, Inc., of the Carolinas, Fishin' Days Sportfishing, LLC, Karen S. Lucas, Robert G. Lucas. Signed by US District Judge Terrence W. Boyle on 2/28/2013. (Edwards, S.)

IN THE UNITED STATES DISTRICT COURT

EASTERN DISTRICT OF NORTH CAROLINA

SOUTHERN DIVISION

No: 7:09-CV-193-BO

FRANK A. RIOS,
Plaintiff,
vs.
CAROLINA YACHT SALES
INC. OF THE CAROLINAS,
FISHIN DAYS SPORTFISHING,
LLC, KAREN LUCAS, and
ROBERT LUCAS,
Defendants.

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DEFAULT

JUDGMENT

This matter is before the Court on the plaintiffs motions for default judgment [DE 54 &
61]. The plaintiff has requested that the Court enter a default judgment against the remaining
defendants in this case pursuant to Federal Rule of Civil Procedure 55(b). A hearing was held on
the plaintiffs motion in Raleigh, North Carolina on February 27,2012 at 2:00 p.m.
DISCUSSION
This dispute arises from the plaintiffs attempted purchase of a boat from Robert and
Karen Lucas through the use of a brokerage, Carolina Yacht Sales Inc. of the Carolinas, owned
by Timothy Day. Plaintiff wired the funds intended for the purchase of the vessel to Fishin Days
Sportfishing LLC, another entity owned by Mr. Day. At some point after the purchase funds had
been transferred to the brokerage it became clear to the plaintiff that the boat had previously been
transferred to a third party and that Mr. and Mrs. Lucas no longer held title to the vessel. The
original complaint named additional defendants, including the third party to whom title had been

transferred. However, many of the defendants named in the complaint have been dismissed. At
this time, only four defendants remain in this matter: (1) Carolina Yacht Sales Inc. of the
Carolinas; (2) Fishin Days Sportfishing LLC; (3) Robert Lucas; and (4) Karen Lucas.
On November 30, 2009, the plaintiff filed a complaint seeking the return of the purchase
funds ($26,500), punitive damages ($250,000), and interest. Service was made on Carolina
Yacht Sales Inc. of the Carolinas and Fishin Days Sportfishing LLC through the North Carolina
Secretary of State on April 14, 2010. Both Robert Lucas and Karen Lucas waived service in this
matter.
Federal Rule of Civil Procedure 55(b) provides for the court's entry of default judgment
against defendants who have failed to plead or defend their case. Upon default, the facts alleged
by the plaintiff in his complaint are deemed admitted. See Ryan v. Homecomings Fin. Network,
253 F.3d 778, 780 (4th Cir. 2001). However, the Court decides whether those admitted facts
actually support the claim alleged and the relief sought. Id.
Here, the Court finds that the facts alleged in the complaint do support the plaintiffs
claims and his requests for relief. At the hearing on this matter, plaintiffs counsel stated that the
amount of purchase funds transferred by the plaintiff totaled $26,500.00. Plaintiffs counsel
further stated that the attorneys' fees in this case amounted to approximately $8,500.00.
Plaintiffs counsel finally offered that punitive damages were appropriate under the claims
alleged in the complaint. As such, the Court finds it proper to enter this Default Judgment against
the four defendants remaining in this case.

It is hereby ORDERED, ADJUDGED AND DECREED that:
1. Plaintiff have and recover of Defendants Carolina Yacht Sales Inc. of the Carolinas,
Fishin Days Sportfishing LLC, Robert Lucas, and Karen Lucas, jointly and severally, the

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amount of $26,500.00, plus interest at the legal rate per annum from the date of entry of
this judgment until paid;
2. Plaintiff have and recover of Defendants Carolina Yacht Sales Inc. of the Carolinas,
Fishin Days Sportfishing LLC, Robert Lucas, and Karen Lucas, jointly and severally, the
amount of $8,500 in attorneys' fees and costs, plus interest at the legal rate per annum
from the date of entry of this judgment until paid;
3. Plaintiff have and recover of Defendants Carolina Yacht Sales Inc. of the Carolinas,
Fishin Days Sportfishing LLC, Robert Lucas, and Karen Lucas, jointly and severally, the
amount of$125,000 in punitive damages pursuant to N.C.O.S. § ID-25, plus interest at
the legal rate per annum from the date of entry of this judgment until paid; and
The plaintiffs motion having been granted, the Clerk of Court is DIRECTED to close this
case.
SO ORDERED.
This the ~ day of February, 2013.

United States District Judge

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