PROCEEDINGS: REQUEST FOR ENTRY OF DEFAULT JUDGMENT 

MOVING PARTY: JPMorgan Chase Bank, N.A.  

RESPONDING PARTY: Pacific Aesthetic Institute, Inc. and Perry Liu 

BACKGROUND 

This case arises from three separate loan transactions between Plaintiff JPMorgan Chase Bank, N.A. and Defendant Pacific Aesthetic Institute Inc. (“Borrower”).  The loans were each separately guaranteed by Defendant Perry Liu (“Guarantor”).   

The first loan was entered into on June 14, 2018 for $925,000 (Loan #1).  Borrower defaulted on Loan #1.  As of November 27, 2024, Plaintiff is owed $815,590.90 on Loan #1.  Guarantor has failed to cure the default of Borrower. 

The second loan was entered into on July 10, 2018 for $500,000 (Loan #2).  Borrower defaulted on Loan #2.  As of November 27, 2024, Plaintiff is owed $317,337.69 on Loan #2.  Guarantor has failed to cure the default of Borrower.   

The third loan was entered into on August 30, 2018 for $722,494.00.  Borrower defaulted on Loan #3.  As of November 27, 2024, Plaintiff is owed $604,215.11 on Loan #3.  Guarantor has failed to cure the default of Borrower.    

On May 1, 2024, Plaintiff filed a complaint alleging six claims for breach of contract and breach of guaranty as to each loan.     

Plaintiff served Defendants by substitute service on August 19, 2024.  Defendants were obligated to respond but failed to do so.  Plaintiff successfully requested the entry of Defendants’ default, which was entered by the Clerk’s Office on October 14, 2024.  Plaintiff requested a default judgment on December 12, 2024.  Plaintiff served Defendants by mail with both the Request for Entry of Default and Request for Default Judgment.   

RELIEF REQUESTED 

Default judgment against Defendants for a total of $1,757,600.73, which is comprised of: (1) $1,737,143.70, for damages, (2) $19,261.43, for fees, and (3) $1,195.60, 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 there have been damages in the amount of $1,737,143.70 as amounts owed on the three separate loans.  The evidence submitted (the Credit and Guaranty Agreements) is authenticated by declaration.  Pursuant to Paragraph 8.13 of the Credit Agreements, the Borrower is liable to Plaintiff for attorneys’ fees incurred to collect the loan amounts.  Plaintiff submits the declaration of its counsel, which shows Plaintiff is entitled to $19,261.43 in attorneys’ fees pursuant to Local Rule 3.214.  A memorandum of costs in the amount of $1,195.60 is set forth in Item 10 of the CIV-100 form and is supported by counsel’s declaration.  Procedurally, Plaintiff properly served Defendants 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 damages in amounts supported by the filings and not in excess of the amount stated in the Complaint, requested dismissal of doe defendants and filed a proposed judgment (JUD-100).  As default has already been entered and there has been no appearance by Defendants, default judgment is appropriate here.  

CONCLUSION AND ORDER  

For the foregoing reasons, Plaintiff’s Request for Default Judgment is GRANTED as to Defendants.  Judgment in the amount of $1,757,600.73 is awarded in favor of Plaintiff.