Judge: Edward B. Moreton, Jr., Case: 23SMCV03110, Date: 2024-07-08 Tentative Ruling
Case Number: 23SMCV03110 Hearing Date: July 8, 2024 Dept: 205
HEARING DATE: July 8, 2024 | JUDGE/DEPT: Moreton/Beverly Hills, 205 |
CASE NAME: ODK Capital LLC v. Parlay, LLC, et al. CASE NUMBER: 23SMCV03110
| COMP. FILED: July 12, 2023
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PROCEEDINGS: REQUEST FOR ENTRY OF DEFAULT JUDGMENT
MOVING PARTY: ODK Capital LLC
RESPONDING PARTY: Parlay LLC aka Parlay Ventures, LLC
BACKGROUND
This is a breach of contract case. Non-party Celtic Bank (“Celtic”) entered into a Business Loan and Security Agreement (“BLSA”) with Defendant Parlay LLC aka Parlay Ventures, LLC (“Parlay”). At the same time as the execution of the BLSA, Defendant Randall Brown (“Brown”) executed a personal guaranty. Defendants breached the BLSA by failing to pay $76,501.25.
Celtic and Parlay also entered into a Business Line of Credit Agreement (BLOC). At the same time as the execution of the BLOC, Brown executed a personal guaranty. Defendants breached the BLOC by failing to pay $46,294.42.
Rights to collect the outstanding amounts under the BLSA and BLOC were assigned to Plaintiff ODK Capital, LLC (“ODK”), which is also named as the loan servicer in the BLSA and BLOC.
On July 12, 2023, Plaintiff filed a Complaint against Defendants. The Complaint alleges two claims for breach of the BLSA and BLOC. The Complaint seeks $122,795.67 in damages plus attorneys’ fees and costs.
Plaintiff filed a proof of service showing Parlay was served by substitute service on July 17, 2023. Parlay was obligated to respond. Parlay did not do so. Plaintiff successfully requested the entry of Parlay’s default, which was entered by the Clerk’s Office on May 8, 2024. Plaintiff requested a default judgment on May 22, 2024. Plaintiff served Parlay by mail with both the Request for Entry of Default and Request for Default Judgment. Parlay has not appeared.
RELIEF REQUESTED
Default judgment against Parlay for a total of $126,433.63, which is comprised of: (1) $122,795.67, for damages, (2) $3,117.96, for attorneys’ fees, and (2) $520, for costs.
ANALYSIS
Code Civ. Proc. § 585 sets forth the two options for obtaining a default judgment. First, where the plaintiff’s complaint¿seeks compensatory damages only, in a sum certain which is readily ascertainable from the allegations of the complaint or statement of damages, the clerk may enter the default judgment for that amount. However, if the relief requested in the complaint is more complicated, consisting of either nonmonetary relief, or monetary relief in amounts which require either an accounting, additional evidence, or the exercise of judgment to ascertain, the plaintiff must request entry of judgment by the court. In such cases, the plaintiff must affirmatively establish his entitlement to the specific judgment requested.¿ (Kim v. Westmoore Partners, Inc. (2011) 201 Cal.App.4th 267, 287.) Section 585 also allows for interest, costs and attorney fees, where otherwise allowed by law. (Code Civ. Proc. § 585(a).)
Multiple specific documents are required, such as: (1) form CIV 100, (2) a brief summary of the case; (3) declarations or other admissible evidence in support of the judgment requested; (4) interest computations as necessary; (5) a memorandum of costs and disbursements; (6) a proposed form of judgment; (7) a dismissal of all parties against whom judgment is not sought or an application for separate judgment under Code Civ. Proc. § 579, supported by a showing of grounds for each judgment; (8) exhibits as necessary; and (9) a request for attorneys’ fees if allowed by statute or by the agreement of the parties. (CRC Rule 3.1800.)
Here, Plaintiff has properly complied with all the substantive and procedural requirements for a default judgment. Substantively, Plaintiff declares via declaration that there have been damages in the amount of $122,795.67, which is the same amount demanded in the Complaint. Plaintiff also provides via declaration a calculation of the attorneys’ fees sought of $3,117.96, as set forth in the Court’s default attorney schedule. Paragraph 24 of the BLSA and paragraph 26 of the BLOC allow for the recovery of attorneys’ fees. A memorandum of costs in the amount of $520 is set forth in Item 7 of the CIV-100 form. The evidence (including the BLSA, BLOC, the transaction history, and statement of account) is authenticated by declaration. Procedurally, Plaintiff properly served Defendant more than 30 days prior to requesting entry of default and default judgment, correctly completed JC Form CIV-100 in a manner that would not void or put at issue the entry of default, provided a declaration of non-military status, requested dismissal of the fictitious defendants, requested damages in amounts supported by the filings and not in excess of the amount stated in the Complaint, and filed a proposed judgment (JUD-100). As default has already been entered and there has been no appearance or filing whatsoever from Defendant, default judgment is appropriate here.
CONCLUSION AND ORDER
For the foregoing reasons, Plaintiff ODK Capital LLC’s Request for Default Judgment is GRANTED as to Defendant Parlay LLC aka Parlay Ventures, LLC. Default judgment in the amount of $126,433.63 is awarded in favor of Plaintiff.