Judge: Salvatore Sirna, Case: 22PSCV00681, Date: 2024-04-26 Tentative Ruling

Case Number: 22PSCV00681    Hearing Date: April 26, 2024    Dept: G

Plaintiff National Commercial Recovery, Inc.’s Application for Default Judgment

Respondent: NO OPPOSITION

TENTATIVE RULING

Plaintiff National Commercial Recovery, Inc.’s Application for Default Judgment is GRANTED.

BACKGROUND

This is a breach of contract action. In August 2017, Miravalle Foods, Inc. (Miravalle Foods) entered into an agreement with Defendant Yucaipa Trading Co., Inc. (Yucaipa Trading), doing business as Rio Ranch Market, in which Yucaipa Trading agreed to purchase $3,000,000 worth of packaged spices from Miravalle Foods. As is customary, Miravalle Foods also advanced slotting fees of 5% to Yucaipa Trading in the amount of $150,000. Yucaipa Trading is alleged to have only purchased $548,581.53, leaving a balance to be ordered of $2,451,418.47 and damaging Miravalle Foods in the amount of $735,425. Yucaipa Trading also did not return to the unused slotting fees, leaving Miravalle Foods with further damages in the amount of $122,550 for total damages of $857,975.54. Since Yucaipa Trading’s alleged breach, Miravalle Foods assigned their right, title, and interest in the claim to Plaintiff National Commercial Recovery, Inc. (NCR)

On July 6, 2022, NCR filed a complaint against Yucaipa Trading and Does 1-10, alleging breach of written contract and a common count of money had and received.

On July 7, 2022, NCR filed a First Amended Complaint (FAC) against the same parties alleging the same causes of action.

On August 9, 2022, NCR’s process server personally served Yucaipa Trading in Newport Beach. Yucaipa Trading filed an answer on September 26, 2022. On January 30, 2024, the Court struck Yucaipa Trading’s answer after Yucaipa Trading failed to appear. The Court then entered default against Yucaipa Trading on April 16, 2024, and NCR submitted the present application for default judgment.

An OSC Re: Default/Default Judgment is set for April 26, 2024.

LEGAL STANDARD

Code of Civil Procedure section 585 permits entry of a default judgment after a party has filed to timely respond or appear.  A party seeking judgment on the default by the court must file a Request for Court Judgment, and: (1) a brief summary of the case; (2) declarations or other admissible evidence in support of the judgment requested; (3) interest computations as necessary; (4) a memorandum of costs and disbursements; (5) a proposed form of judgment; (6) a dismissal of all parties against whom judgment is not sought or an application for separate judgment under CCP § 579, supported by a showing of grounds for each judgment; (7) exhibits as necessary; and (8) a request for attorneys’ fees if allowed by statute or by the agreement of the parties.  (Cal. Rules of Court 3.1800.)

ANALYSIS

NCR seeks default judgment against Yucaipa Trading in the total amount of $729,503.48, including $617,376.08 in damages, $111,632.40 in interest, and $495 in costs. Because the Court finds NCR has submitted sufficient evidence, the Court GRANTS their application for default judgment.

CONCLUSION

Based on the foregoing, NCR’s application for default judgment is GRANTED.