Community Association Underwriters of America, Inc. v. Honeywell International

CourtDistrict Court, D. New Jersey
DecidedJanuary 14, 2026
Docket2:23-cv-00473
StatusUnknown

This text of Community Association Underwriters of America, Inc. v. Honeywell International (Community Association Underwriters of America, Inc. v. Honeywell International) is published on Counsel Stack Legal Research, covering District Court, D. New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Community Association Underwriters of America, Inc. v. Honeywell International, (D.N.J. 2026).

Opinion

UNITED STATES DISTRICT COURT DISTRICT OF NEW JERSEY

COMMUNITY ASSOCIATION UNDERWRITERS OF AMERICA, INC., Civil Action No. 23-473 (BRM) (MAH)

Plaintiff,

v. REPORT AND RECOMMENDATION HONEYWELL INTERNATIONAL,

Defendant.

I. INTRODUCTION Presently before the Court is Defendant Honeywell International’s (“Defendant” or “Honeywell”) Motion to Vacate Default Judgment. Mot. to Vacate Default J., Nov. 7, 2025, D.E. 14. Plaintiff Community Association Underwriters of America, Inc. (“Plaintiff”) opposes the motion. Pl.’s Opp’n, Dec. 1, 2025, D.E. 21. Defendant replied on December 8, 2025. Def.’s Reply, Dec. 8, 2025, D.E. 23. The District Court referred the motion to the Undersigned for a Report and Recommendation. See Local Civ. R. 72.1(a)(2). The Undersigned has considered this matter without oral argument. Fed. R. Civ. P. 78; Local Civ. R. 78.1. For the reasons set forth below, the Undersigned respectfully recommends the District Court GRANT Defendant’s motion to vacate default judgment and DENY Defendant’s motion to dismiss under Rule 12(b)(5). II. BACKGROUND Plaintiff is a California-based insurance company. Compl., D.E. 1, ¶ 1. Plaintiff maintains that it provided insurance to a condominium property owned by The Lake Forest Condominium Association in Frisco, Colorado (the “Property”). Id. ¶ 3. On or about January 27, 2021, the Property suffered water damage that exceeded $200,000. Id. ¶ 10. Plaintiff paid claims under the policy, and thereby any rights to recovery were subrogated to it. Id. ¶ 13. Plaintiff brings this action to recover the monies it paid to the insured/subrogor on the insurance claim. Id. ¶¶ 9-13. Plaintiff alleges that the water damage was caused by a thermostat

that Defendant defectively designed, “in that its design caused the heater [at the Property] to operate improperly (indeed, shut down), thereby allowing certain water pipe(s) to freeze and burst, resulting in substantial water loss.” Id. ¶ 11. Plaintiff brings claims sounding in state law negligence, products liability, and breach of warranty. On May 4, 2023, the Honorable Kevin McNulty, U.S.D.J. (ret.), noticed a call for dismissal under Federal Rule of Civil Procedure 4(m). D.E. 4. On May 16, 2023, Plaintiff filed a notarized Affidavit of Service signed by a process server, Gladimar Robles (“Robles”). Aff. of Service (“Robles Aff.”), D.E. 5. Robles represents that on May 5, 2023, she successfully served the summons and complaint at an address associated with Defendant in Morris Plains, New Jersey. Id. In the affidavit, Robles states that she “[l]eft a copy with a person authorized to

accept service, who provided verbal confirmation that he or she [wa]s authorized by appointment or law to receive service on behalf of the Defendant.” Id. That individual was identified as Sam Godoy (“Godoy”). Id. Although Robles states that Godoy was authorized to accept service for Defendant, she also acknowledges that Godoy refused to provide information regarding his role in the company. Id. On June 26, 2023, Judge McNulty directed Plaintiff to move the action by requesting the entry of default against Defendant. D.E. 6. Plaintiff moved for the entry of default on July 26, 2023, D.E. 7, and the Clerk of Court entered default on July 27, 2023. Plaintiff then moved for default judgment on July 31, 2023. D.E. 8. The Court terminated that motion because Plaintiff’s request lacked a computation of damages and affidavit detailing that amount. See Clerk’s Quality Control Message, Aug. 1, 2023. On September 5, 2023, Judge McNulty directed Plaintiff to move for default judgment. D.E. 9. On September 20, 2023, Plaintiff moved for default judgment, curing the deficiencies of

the previous motion. D.E. 10. The Clerk entered default judgment in favor of Plaintiff on September 25, 2023, in the amount of $288,867.50.1 D.E. 11. On November 7, 2025, Defendant moved to vacate the default judgment. Mot. to Vacate Default J., D.E. 14. Defendant argues vacatur is appropriate because service of process was insufficient, in violation of Federal Rule of Civil Procedure 60(b)(4). Id. at 15. Defendant alternatively argues the default judgment can be vacated under Federal Rule of Civil Procedure 60(b)(6). Id. at 20. Finally, Defendant argues the case should be dismissed under Federal Rule of Civil Procedure 12(b)(5) based on insufficient service of process. Id. at 25. In support of its motion, Defendant submitted an affidavit from Godoy. D.E. 14-2 (“Godoy Aff.”). Godoy attests that although Defendant now directly employs him, that was not

true during the May 5, 2023 service date. Id. ¶ 2-3. On the date of service, Godoy worked for a third-party security company. According to Godoy, after the front desk informed Godoy that Robles was in the lobby of Defendant’s Morris Plains building, Godoy told Robles that he did not work for Defendant, he could not accept service of process for Defendant, and that Robles should serve the complaint and summons on Defendant’s registered agent. Id. ¶ 5. Godoy asserts the process server then dropped the package on the floor and left. Id. ¶ 6. Godoy

1 Although Plaintiff was not required to serve written notice of the motions for default and default judgment because Defendant did not appear in the action, see generally Fed. R. Civ. P. 55, Plaintiff certified it served notice of the motion for default judgment on Defendant, D.E. 10, at 5. The Court notes, however, that Plaintiff certified sending notice to an address in “Morrison Plains,” rather than “Morris Plains,” New Jersey. submitted an incident report documenting the interaction that same day, id. ¶ 7, which he attached as an exhibit, id. at 5. Defendant also submitted an affidavit of Caitlyn Owens (“Owens”), who is a senior paralegal with Honeywell Security Americas LLC, which is a subsidiary of the Defendant. D.E.

14-3 (“Owens Aff.”) ¶ 2. In that capacity, Owens is responsible for, among other things, the processing of “service of process handled through Honeywell’s registered agent.” Id. ¶ 3. Owens certified neither she nor, to her knowledge, anyone within the Honeywell legal department was aware of the lawsuit, the default, or the default judgment.2 Id. ¶ 11. Owens also certified that no service of process was completed on Defendant’s registered agent, Corporation Service Company (“CSC”), located in Ewing, New Jersey.3 Id. ¶ 6. Defendant’s reply brief reiterates these arguments. D.E. 23. In opposition, Plaintiff argues that, under New Jersey law, it properly served Defendant on May 5, 2023. Id. at 4-12. Plaintiff also asserts Defendant fails to meet the standard to vacate the default judgment under Rules 60(b)(4) and (6). Id. at 12-14. Plaintiff also contends

Defendant abandoned its Rule 12(b)(5) claim by submitting an answer and affirmative defenses. Id. at 15. Plaintiff also attached exhibits in support, including a declaration by Robles. D.E. 22, at 14-15 (“Robles Decl.”). Robles states she went to Morris Plains office on May 16, 2023, and announced her intent to serve Defendant. Id. ¶¶ 3-4. Robles asserts after somebody from the

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Community Association Underwriters of America, Inc. v. Honeywell International, Counsel Stack Legal Research, https://law.counselstack.com/opinion/community-association-underwriters-of-america-inc-v-honeywell-njd-2026.