CONTOUR SIERRA, LLC v. COLETTE WILLIAMS

Court of Appeals of Georgia·Decided October 19, 2023·No. A23A1079·Published

Opinion

SECOND DIVISION

MERCIER, C. J.,

MILLER, P. J., and HODGES, J.

NOTICE: Motions for reconsideration must be physically received in our clerk’s office within ten days of the date of decision to be deemed timely filed.

https://www.gaappeals.us/rules

October 19, 2023

In the Court of Appeals of Georgia A23A1079. CONTOUR SIERRA, LLC v. WILLIAMS et al.

HODGES, Judge.

Defendant Contour Sierra, LLC (“Contour”), appeals from the trial court’s final judgment awarding plaintiffs Colette Williams and Milton Brooks (collectively, the “plaintiffs”) damages following Contour’s default. Contour argues that the trial court erred by entering default judgment despite the plaintiffs’ purported failure in their complaint to state well-pled factual allegations regarding their claims. We conclude that the well-pled factual allegations in the complaint support the plaintiffs’ claims, and we therefore affirm the trial court’s final judgment.

The well-pled allegations of the complaint show that on December 1, 2018, the plaintiffs had just pulled into a parking spot at their apartment complex when they heard gunshots. The plaintiffs were terrified and crouched down inside their vehicle.

Although they were not physically injured as a result of the gunfire, their vehicle received significant damage.

The plaintiffs sued Contour as a party that owned, operated, and/or managed the subject premises on the date in question, and Contour was served in March 2020. The complaint alleged claims for negligence, negligence per se, negligent infliction of emotional distress, and punitive damages. Contour failed to answer the complaint or respond to the plaintiffs’ request for admissions. The plaintiffs, therefore, moved for entry of default judgment against Contour. The trial court granted the motion, ordering that “judgment as to liability be entered against Defendant Contour Sierra, LLC with the only remaining issue for determination by the Court being the amount of damages.”1 The parties subsequently filed trial briefs in response to the trial court’s purported “request for ‘a brief with legal support on any challenge to the Plaintiffs’ claims for personal injuries or other claims.’” In its trial brief, Contour argued that “[b]ecause the well-pled allegations are not sufficient to show that Contour is liable

1 The plaintiffs also sued Roco Sierra Townhomes, LLC (“Roco”), as another company that owned, operated, and/or managed the subject premises. Default judgment was entered against Roco, but the trial court concluded, following the damages hearing, that Roco was not responsible for any apportionment of damages. Roco is not a party to this appeal.

on any of their claims, Plaintiffs are not entitled to a default judgment.” The plaintiffs disputed Contour’s argument, asserting that Contour was belatedly attempting to set aside the default and shift the burden of proof to the plaintiffs. The trial court subsequently conducted a trial on damages during which, according to Contour, the court “heard argument on, and rejected, Contour’s arguments raised in its Trial Brief.”2 Following the bench trial on damages, the court awarded $474,000 to Williams (including specific amounts for lost wages, future medical expenses, and past, present, and future pain and suffering) and $446,493.69 to Brooks (including specific amounts for property damages, future medical expenses, and past, present, and future pain and suffering). The court determined that Contour should bear 100 percent of the damages, and Contour appeals from this judgment.

1. At the outset, we must determine the procedural posture of this case in order to address the appropriate burden of proof and standard of review. Contour argues that the trial court erred in entering default judgment because the well-pled factual

2 The damages trial was not transcribed, and although Contour prepared a narrative transcript by recollection pursuant to OCGA § 5-6-41 (d) and (g), it was unable to obtain approval of the transcript from either opposing counsel or the trial court.

allegations in the plaintiffs’ complaint do not establish claims for negligence based on premises liability, negligence per se based on statutory violations, or negligent infliction of emotional distress. The plaintiffs assert that Contour’s argument is actually a motion to set aside default, and the motion fails because: (i) Contour failed to file a motion to set aside below; (ii) the only method to open default at this juncture is by filing a motion to set aside under OCGA § 9-11-60 (d), and Contour has not shown it is entitled to open default on those grounds; and (iii) witnesses testified and exhibits were produced at the bench trial, and Contour’s failure to have the bench trial transcribed means it cannot meet its burden to open default. We disagree with the plaintiffs’ characterization of Contour’s argument as a motion to set aside or open default.

OCGA § 9-11-55 (a) provides, in relevant part, that when a case is in default, the plaintiff is entitled to judgment “as if every item and paragraph of the complaint or other original pleading were supported by proper evidence,” unless the action involves unliquidated damages, “in which event the plaintiff shall be required to introduce evidence and establish the amount of damages. . . .” In other words, a default “operates as an admission by the defendant of the truth of the definite and certain allegations and the fair inferences and conclusions of fact to be drawn from

the allegations of the declaration.” (Citation and punctuation omitted.) Willis v. Allstate Ins. Co., 321 Ga. App. 496, 497 (740 SE2d 413) (2013). A defendant in default has admitted each and every material allegation in a plaintiff’s complaint except the amount of damages, and the defendant is estopped from offering any defenses that would defeat the right of recovery. Cohran v. Carlin, 254 Ga. 580, 585 (3) (331 SE2d 523) (1985); accord Willis, 321 Ga. App. at 498. In addition, “defenses which go to the right of recovery are not available to [the defendant] in default even though the same defense may also go to the assessment of damages.” (Citation and punctuation omitted.) Paris v. E. Michael Ruberti, LLC, 355 Ga. App. 748, 752 (845 SE2d 720) (2020); accord Flanders v. Hill Aircraft & Leasing Corp., 137 Ga. App. 286, 288 (223 SE2d 482) (1976) (holding that it is error for a trial court to permit defenses that go to both the assessment of damages as well as the right of recovery because it “would leave the defendant in as good [a] position when he was in default as though he had answered”) (citation and punctuation omitted).

That being said, conclusions of law, facts not well-pled, and forced inferences are not admitted by a default judgment. Willis, 321 Ga. App. at 497; accord Fink v. Dodd, 286 Ga. App. 363, 365 (1) (649 SE2d 359) (2007). Simply stated,

while a default operates as an admission of the well-pled factual allegations in a complaint, it does not admit the legal conclusions contained therein. A default simply does not require blind acceptance of a plaintiff’s erroneous conclusions of law. Nor does a default preclude a defendant from showing that under the facts as deemed admitted, no claim existed which would allow the plaintiff to recover.

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CONTOUR SIERRA, LLC v. COLETTE WILLIAMS, (Ga. Ct. App. 2023).

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