Default Judgment

What Is a Default Judgment?

A default judgment is a judgment entered against a defendant who has failed to plead or otherwise defend within the time allowed by court rules. Default judgments are governed by Federal Rule of Civil Procedure 55 and parallel state rules. They typically arise when a defendant ignores the lawsuit, cannot be located, or makes a strategic decision not to defend.

The Default Process

• **Entry of default**: the clerk enters default when the defendant fails to file a timely response - **Motion for default judgment**: the plaintiff applies for judgment, attaching proof of service and damages - **Hearing**: the court may hold a hearing to determine damages if not for a sum certain - **Notice**: the defendant who has appeared (even informally) must receive notice of the default judgment application

Setting Aside Default Judgments

A defendant may move to vacate a default judgment under Rule 60(b) by showing good cause, which typically requires demonstrating that the failure to respond was not willful, that the defendant has a meritorious defense, and that vacating the judgment will not prejudice the plaintiff. Courts strongly prefer resolving cases on the merits and routinely grant motions to vacate when filed promptly. However, after the time for direct appeal expires, the grounds for relief narrow significantly. Defendants who ignore lawsuits expose themselves to enforcement actions, asset seizures, and wage garnishment.