Judge: Stephanie M. Bowick, Case: 31STCV17165, Date: 2025-02-27 Tentative Ruling
Case Number: 31STCV17165 Hearing Date: February 27, 2025 Dept: 19
HEARING
DATE: 02/27/2025
CASE
NAME: L.A.
Arena Company LLC v. Fur Media Ltd.
CASE
NUMBER: 23STCV17165
DATE FILED: 07/21/2023
DEFAULT
ENTERED: 05/22/2024
PROCEEDING: Request for Entry of Default
Judgment against Defendant Fur Media Ltd. Liability Co. aka "Fur Media Ltd”
MOVING
PARTY: Plaintiff L.A.
Arena Company, LLC
Plaintiff L.A.
Arena Company, LLC’s Request for Entry of Default Judgment against Defendant Fur
Media Ltd. Liability Co. aka "Fur Media Ltd” is GRANTED in the amount of $2,285,369.59.
The Court enters
the proposed judgment filed on October 14, 2024, with a revised prejudgment
interest figure of $359,278.99 and a revised total of $2,285,369.59.
Notice waived as
to Defendant, who is in default.
This is a breach of contract
case. Plaintiff L.A. Arena Company, LLC (“Plaintiff”) brings suit against
Defendant Fur Media Ltd. Liability Co. aka "Fur Media Ltd. (“Defendant”)
alleging the following cause of action:
1.
Breach of Contract.
The Complaint alleges that, on
August 2, 2021 and September 15, 2021, Defendant breached a “Suite License
Agreement” by failing to pay annual license fees due and owing.
On May 22, 2024, Defendant’s
default was entered.
Principal Requested: $1,928,500.00
Interest: $449,306.58
Costs: $693.20
Attorneys’ Fees: N/A
Total: $2,378,499.78
RECOMMENDATION
In rendering a default judgment, “[i]t is the duty of the
court to act as gatekeeper, ensuring that only the appropriate claims get
through.” (Heidary v. Yadollahi (2002) 99 Cal.App.4th 857, 868.) “The
correct standard of proof requires that the plaintiff merely establish a prima
facie case.” (Johnson v. Stanhiser (1999) 72 Cal.App.4th 357, 361.)
“‘Generally speaking, the party who makes default thereby confesses the
material allegations of the complaint. It is also true that where a cause of
action is stated in the complaint and evidence is introduced to establish a
prima facie case the trial court may not disregard the same, but must hear the
evidence offered by the plaintiff and must render judgment in his favor for
such sum, not exceeding the amount stated in the complaint, or for such relief,
not exceeding that demanded in the complaint, as appears from the evidence to
be just.’” (Id. at 361-362 (quoting Taliaferro v. Davis (1963)
216 Cal.App.2d 398, 408-409) (internal citations omitted); see Kim v.
Westmoore Partners, Inc. (2011) 201 Cal.App.4th 267, 281.)
Furthermore, “[a]s a general rule, a default
judgment is . . . limited to the damages of which the defendants had notice.” (Schwab
v. Rondel Homes, Inc. (1991) 53 Cal.3d 428, 433.) “The relief granted to
the plaintiff, if there is no answer, cannot exceed that demanded in the
complaint, in the statement
required by Section 425.11, or in the statement provided for by Section
425.115.” (Code Civ. Proc., § 580.)
The Court finds that Plaintiff has
satisfied the requirements of California Rules of Court, rule 3.1800. The Court
considers as evidence the declarations of Richard D. Buckley, Jr. and Chris
Cockrell, filed on July 3, 2024, the supplemental declaration of Richard D.
Buckley, Jr., filed on September 4, 2024, and the second supplemental
declaration of Richard D. Buckley, Jr., filed on October 14, 2024.
I.
DAMAGES
As explained
in the Court’s October 1, 2024 Minute Order, the Court finds that Plaintiff alleges
a viable claim for breach of the “Suite License Agreement” and adequately
proves up $1,925,397.40 in damages. (October 1, 2024 Minute Order, pp. 3-7.)
II.
INTEREST
As explained
in the Court’s October 1, 2024 Minute Order, the Court finds that Plaintiff is
entitled to prejudgment interest a rate of ten percent (10%) per annum. (Id.
at p. 8.)
After review
and consideration of the second
supplemental declaration of Richard D. Buckley, Jr. filed on October 14, 2024,
the Court awards Plaintiff prejudgment interest as follows:
a.
the
$42,000.00 due and owing as of August 2, 2021 –
i.
Annual
Interest = $42,000.00 x 0.10 = $4,200.00;
ii.
Daily
Interest = $4,200.00 (Annual Interest) / 365 days = $11.51;
iii.
Total
Interest = $11.51 (Daily Interest) x 1,305 [number of days from and including
August 3, 2021 to and including February 27, 2025] = $15,020.55
b.
the
$43,000.00 due and owing as of September 15, 2021 –
i.
Annual
Interest = $43,000.00 x 0.10 = $4,300.00;
ii.
Daily
Interest = $4,300.00 (Annual Interest) / 365 days = $11.78;
iii.
Total
Interest = $11.78 (Daily Interest) x 1,261 [number of days from and including
September 16, 2021 to and including February 27, 2025] = $14,854.58
c.
the
$43,000.00 due and owing as of October 15, 2021 –
i.
Annual
Interest = $43,000.00 x 0.10 = $4,300.00;
ii.
Daily
Interest = $4,300.00 (Annual Interest) / 365 days = $11.78;
iii.
Total
Interest = $11.78 (Daily Interest) x 1,231 [number of days from and including
October 16, 2021 to and including February 27, 2025] = $14,501.18
d.
the $43,000.00 due and owing as of November 15,
2021 –
i.
Annual Interest = $43,000.00 x 0.10 = $4,300.00;
ii.
Daily Interest = $4,300.00 (Annual Interest) /
365 days = $11.78;
iii.
Total Interest = $11.78 (Daily Interest) x 1,200
[number of days from and
including November 16, 2021 to and including February 27, 2025] = $14,136.00
e. the
$43,000.00 due and owing as of December 15, 2021 –
i.
Annual Interest = $43,000.00 x 0.10 = $4,300.00;
ii.
Daily Interest = $4,300.00 (Annual Interest) /
365 days = $11.78;
iii.
Total Interest = $11.78 (Daily Interest) x 1,170
[number of days from and
including December 16, 2021 to and including February 27, 2025] = $13,782.60
f. the
$43,000.00 due and owing as of January 15, 2022 –
i.
Annual Interest = $43,000.00 x 0.10 = $4,300.00;
ii.
Daily Interest = $4,300.00 (Annual Interest) /
365 days = $11.78;
iii.
Total Interest = $11.78 (Daily Interest) x 1,139
[number of days from and
including January 16, 2022 to and including February 27, 2025] = $13,417.42
g. the
$43,000.00 due and owing as of February 15, 2022 –
i.
Annual Interest = $43,000.00 x 0.10 = $4,300.00;
ii.
Daily Interest = $4,300.00 (Annual Interest) /
365 days = $11.78;
iii.
Total Interest = $11.78 (Daily Interest) x 1,108
[number of days from and
including February 16, 2022 to and including February 27, 2025] = $13,052.24
h. the
$262,500.00 due and owing as of May 1, 2022 –
i.
Annual Interest = $262,500.00 x 0.10 =
$26,250.00;
ii.
Daily Interest = $26,250.00 (Annual Interest) /
365 days = $71.92;
iii.
Total Interest = $71.92 (Daily Interest) x 1,033
[number of days from and
including May 2, 2022 to and including February 27, 2025] = $74,293.36
i. the
$262,500.00 due and owing as of August 1, 2022 –
i.
Annual
Interest = $262,500.00 x 0.10 = $26,250.00;
ii.
Daily Interest = $26,250.00 (Annual Interest) /
365 days = $71.92;
iii.
Total Interest = $71.92 (Daily Interest) x 941 [number of days from and including
August 2, 2022 to and including February 27, 2025] = $67,676.72
j. the
$275,000.00 due and owing as of May 1, 2023 –
i.
Annual Interest = $275,000.00 x 0.10 = $27,500.00;
ii.
Daily Interest = $27,500.00 (Annual Interest) /
365 days = $75.34;
iii.
Total Interest = $75.34 (Daily Interest) x 668 [number of days from and including May
2, 2023 to and including February 27, 2025] = $50,327.12
k. the
$275,000.00 due and owing as of August 1, 2023 –
i.
Annual Interest = $275,000.00 x 0.10 =
$27,500.00;
ii.
Daily Interest = $27,500.00 (Annual Interest) /
365 days = $75.34;
iii.
Total Interest = $75.34 (Daily Interest) x 576 [number of days from and including
August 2, 2023 to and including February 27, 2025] = $43,395.84
l. the
$300,000.00 due and owing as of May 1, 2024 –
i.
Annual Interest = $300,000.00 x 0.10 =
$30,000.00;
ii.
Daily Interest = $30,000.00 (Annual Interest) /
365 days = $82.19;
iii.
Total Interest = $82.19 (Daily Interest) x 302 [number of days from and including
August 2, 2023 to and including February 27, 2025] = $24,821.38
Accordingly, the Court awards $359,278.99 in prejudgment
interest.
III.
COSTS
As explained
in the Court’s October 1, 2024 Minute Order, the Court finds that Plaintiff is
entitled to recover the costs set forth in the memorandum of costs and awards
Plaintiff $693.20 in costs.
Based on all
the foregoing, the Court GRANTS Plaintiff’s request for entry of default
judgment against Defendant in the amount of $2,285,369.59.