Porter Family Limited Partnership v. ST Brands, Inc. et al

Filing 63

DEFAULT JUDGMENT: Plaintiff filed two Motions for Default Judgment pursuant to Federal Rule of Civil Procedure 55(b)(1). The first motion seeks default judgment against defendant ST Brands, Inc. 60 . The second motion seeks default judgment again st CropShare America, Inc. 61 . Plaintiff's Motions, to the extent they seek recovery of attorneys' fees, are DENIED without prejudice to refiling pursuant to Local Rule 54.01(b). The Clerk otherwise GRANTS Plaintiff's Motions for Default Judgment against Defendants ST Brands, Inc. and CropShare America, Inc., jointly and severally, in the amount of $680,027.00, plus post-judgment interest as provided by 28 U.S.C. §1961. Plaintiff may move for taxable costs pursua nt to Federal Rule of Civil Procedure 54(d)(1) and Local Rule 54.01(a). Signed by Lynda M. Hill on 1/17/2023.(xc: Order forwarded to ST Brands and CropShare America by certified mail.) (DOCKET TEXT SUMMARY ONLY-ATTORNEYS MUST OPEN THE PDF AND READ THE ORDER.)(kc)

IN THE UNITED STATES DISTRICT COURT
FOR THE MIDDLE DISTRICT OF TENNESSEE
NASHVILLE DIVISION
PORTER FAMILY LIMITED
PARTNERSHIP,
Plaintiff,
v.
ST BRANDS, INC., CROPSHARE
AMERICA, INC., JASON FRANKOVICH,
DAVID CONKLING,
Defendants.

)
)
)
)
)
)
)
)
)
)
)
)

No. 3:21-cv-00871
Judge Eli J. Richardson
Magistrate Barbara D. Holmes

DEFAULT JUDGMENT

Plaintiff filed two Motions for Default Judgment pursuant to Federal Rule of Civil
Procedure 55(b)(1). The first motion seeks default judgment against defendant ST Brands, Inc.
(“ST Brands”). (Doc. No. 60). The second motion seeks default judgment against CropShare
America, Inc. (“CropShare”). (Doc. No. 61). For the following reasons both Motions for Default
Judgment are GRANTED in part and DENIED in part.
Plaintiff filed its Complaint on November 18, 2021. (Doc. No. 1). Alias Summonses were
issued as to Defendants on March 22, 2022. (Doc. No. 24). On April 12, 2022, Plaintiff filed Proof
of Service declarations signed by Chukwudi Echetebu. (Doc. Nos. 25 and 26). Attached to the
Proof of Service declarations are signed Certified Mail return receipts, properly addressed to the
registered agent, dated March 28, 2022. (Doc. Nos. 25-1 and 26-1). Plaintiff filed Motions for
Entry of Default on April 21, 2022. (Doc. Nos. 29 and 30). The Clerk granted the Motions and
entered default against Defendants on July 1, 2022. (Doc. No. 33).

1

Case 3:21-cv-00871 Document 63 Filed 01/17/23 Page 1 of 3 PageID #: 242

Plaintiff now seeks default judgment against Defendants pursuant to Federal Rule of Civil
Procedure 55(b)(1). (Doc. Nos. 60 and 61). In support, Plaintiff submits the Declarations of Isaac
Conner. (Doc. No. 60-3 and 61-3). Plaintiff’s Motions and Connor’s Declarations provide
financial records supporting their claim for recovery of $680,027.00 against Defendants. Plaintiff
also seek recovery of costs and attorney’s fees. To date, the Defendants have not entered an
appearance or otherwise responded to the pending Motions.
Upon entry of default, well-pleaded allegations relating to liability are taken as true. In Re:
Family Resorts of America, Inc., No. 91-4127, 1992 WL 174539, at *4 (6th Cir. July 24, 1992).
Thereafter, “[i]f the plaintiff’s claim is for a sum certain or a sum that can be made certain by
computation,” the Clerk may enter default judgment “on the plaintiff’s request with an affidavit
showing the amount due.” Fed. R. Civ. P. 55(b)(1). Upon review of Plaintiff’s Motions for Default
Judgment (Doc. Nos. 60 and 61), the Declarations of Isaac Connor, supporting exhibits, and the
record as a whole, the Clerk finds the Motions should be granted in part and denied in part without
prejudice. Plaintiff’s Motions are denied without prejudice only to the extent they seek recovery
of attorney’s fees.
With regard attorneys’ fees, such claims are not for a sum certain or a sum that can be made
certain by computation under Rule 55(b)(1). “The award of an attorney's fee, whether pursuant to
agreement or statute, must be reasonable and not excessive. Such an award should only take
account of work actually performed, and fees actually incurred. The fee applicant bears the burden
of establishing entitlement to an award and documenting the appropriate hours expended and
hourly rates” Graceland Fruit, Inc. v. KIC Chemicals, Inc., 320 Fed. Appx. 323, 328 (6th Cir.
2008) (internal citations omitted). The need for the Court to determine what constitutes a
“reasonable” attorney fee precludes the Clerk of Court from entering a default judgment under
Rule 55(b)(1). Van Zeeland Oil Co., Inc. v. Lawrence Agency, Inc., No. 2:09-cv-150, 2009 WL
2

Case 3:21-cv-00871 Document 63 Filed 01/17/23 Page 2 of 3 PageID #: 243

10678619, at *1 (W.D. Mich. Sept. 28, 2009). As a result, Plaintiff’s Motions, to the extent they
seek recovery of attorneys’ fees, are DENIED without prejudice to refiling pursuant to Local Rule
54.01(b).
The Clerk otherwise GRANTS Plaintiff’s Motions for Default Judgment against
Defendants ST Brands, Inc. and CropShare America, Inc., jointly and severally, in the amount of
$680,027.00, plus post-judgment interest as provided by 28 U.S.C. §1961. Plaintiff may move for
taxable costs pursuant to Federal Rule of Civil Procedure 54(d)(1) and Local Rule 54.01(a).

s/ Lynda M. Hill
Lynda M. Hill
Clerk of Court

3

Case 3:21-cv-00871 Document 63 Filed 01/17/23 Page 3 of 3 PageID #: 244