G & G Closed Circuit Events, LLC v. Barajas-Quijada

CourtDistrict Court, E.D. California
DecidedJanuary 7, 2020
Docket1:19-cv-01259
StatusUnknown

This text of G & G Closed Circuit Events, LLC v. Barajas-Quijada (G & G Closed Circuit Events, LLC v. Barajas-Quijada) is published on Counsel Stack Legal Research, covering District Court, E.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
G & G Closed Circuit Events, LLC v. Barajas-Quijada, (E.D. Cal. 2020).

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 EASTERN DISTRICT OF CALIFORNIA 10

11 G & G CLOSED CIRCUIT EVENTS, LLC, ) Case No.: 1:19-cv-01259 - AWI JLT ) 12 Plaintiff, ) FINDINGS AND RECOMMENDATIONS ) GRANTING IN PART PLAINTIFF’S MOTION 13 v. ) FOR DEFAULT JUDGMENT ) 14 RAMON A. BARAJAS-QUIJADA and ) (Doc. 11) GUSTAVO GARCIA, JR., individually and ) 15 doing business as CULICHI SUSHI AND ) MARISCOS, ) 16 ) Defendants. ) 17 )

18 G & G Closed Circuit Events, LLC seeks the entry of default judgment against Ramon A. 19 Barajas-Quijada and Gustavo Garcia, Jr, individually and doing business as Culichi Sushi and 20 Mariscos. (Doc. 11) Defendants have not opposed this motion. The Court found the matter suitable 21 for decision without an oral hearing, and the matter was taken under submission pursuant to Local Rule 22 230(g). For the following reasons, the Court recommends Plaintiff’s motion for default judgment be 23 GRANTED IN PART, in the modified amount of $13,100. 24 I. Procedural History 25 G & G Closed Circuit Events, LLC asserts the company possessed the exclusive rights to the 26 nationwide commercial distribution of “Saul ‘Canelo’ Alvarez v. Gennady ‘GGG’ Golovkin II 27 Championship Fight Program,” (“the Program”) televised on September 15, 2018. (Doc. 1 at 5, ¶ 20) 28 1 However, Plaintiff contends Defendants broadcast the Program at Culichi Sushi and Mariscos without 2 paying the requisite fee. (Id., ¶¶ 16-17) Defendants were served with the summons and complaint filed 3 on September 10, 2019 (Docs. 6-7) but failed to respond within the time prescribed by the Federal 4 Rules of Civil Procedure. Upon application of Plaintiff, default was entered on October 30, 2019. 5 (Docs. 8-9) 6 II. Legal Standards Governing Entry of Default Judgment 7 The Federal Rules of Civil Procedure govern the entry of default judgment. After default is 8 entered because “a party against whom a judgment for relief is sought has failed to plead or otherwise 9 defend,” the party seeking relief may apply to the court for a default judgment. Fed. R. Civ. P. 55(a)- 10 (b). Upon the entry of default, well-pleaded factual allegations regarding liability are taken as true, but 11 allegations regarding the amount of damages must be proven. Pope v. United States, 323 U.S. 1, 22 12 (1944); see also Geddes v. United Financial Group, 559 F.2d 557, 560 (9th Cir. 1977). In addition, 13 “necessary facts not contained in the pleadings, and claims which are legally insufficient, are not 14 established by default.” Cripps v. Life Ins. Co. of North Am., 980 F.2d 1261, 1267 (9th Cir. 1992) 15 (citing Danning v. Lavine, 572 F.2d 1386, 1388 (9th Cir. 1978)). 16 Entry of default judgment is within the discretion of the Court. Aldabe v. Aldabe, 616 F.2d 17 1089, 1092 (9th Cir. 1980). The entry of default “does not automatically entitle the plaintiff to a court- 18 ordered judgment. Pepsico, Inc. v. Cal. Sec. Cans, 238 F.Supp.2d 1172, 1174 (C.D. Cal 2002), accord 19 Draper v. Coombs, 792 F.2d 915, 924-25 (9th Cir. 1986). The Ninth Circuit determined: 20 Factors which may be considered by courts in exercising discretion as to the entry of a default judgment include: (1) the possibility of prejudice to the plaintiff, (2) the merits of 21 plaintiff’s substantive claim, (3) the sufficiency of the complaint, (4) the sum of money at stake in the action, (5) the possibility of a dispute concerning material facts, (6) 22 whether the default was due to excusable neglect, and (7) the strong policy underlying 23 the Federal Rules of Civil Procedure favoring decisions on the merits.

24 Eitel v. McCool, 782 F.2d 1470, 1471-72 (9th Cir. 1986). As a general rule, the issuance of default 25 judgment is disfavored. Id. at 1472. 26 III. Plaintiff’s Factual Allegations 27 The Court accepts Plaintiff’s factual assertions because default has been entered against 28 Defendants. See Pope, 323 U.S. at 22. Plaintiff alleges that by contract, it was granted exclusive 1 domestic commercial distribution rights to the Program and, pursuant to that contract, “entered into 2 subsequent sublicensing agreements with various commercial entities throughout North America” to 3 broadcast the Program within their establishments, such as “hotels, racetracks, casinos, bars, taverns, 4 restaurants, [and] social clubs.” (Doc. 1 at 5, ¶¶ 20-21) 5 Plaintiff alleges the Program was broadcast at Culichi Sushi and Mariscos without the purchase 6 of a proper sublicense from Plaintiff. (Doc. 1 at 5-6, ¶ 23) Plaintiff asserts Defendants were each 7 “owner, and/or operator, and/or licensee, and/or permittee, and/or person in charge, and/or an 8 individual with dominion, control, oversight and management of the commercial establishment doing 9 business as Culichi Sushi and Mariscos operating at 3017 Wilson Road, Bakersfield, California 93304.” 10 (Id. at 3, ¶¶ 7, 9) 11 For this act, Plaintiff alleged violations of 47 U.S.C. §§ 553 and 605, conversion, and a 12 violation of the California Business and Professions Code. (See generally Doc. 1 at 5-11) In the 13 application for default judgment, Plaintiff requests damages for the violation of 47 U.S.C. § 605 and 14 conversion. (See Doc. 11-1) Therefore, the Court will address only these claims. 15 IV. Discussion and Analysis 16 Applying the factors articulated by the Ninth Circuit in Eitel, the Court finds the factors weigh 17 in favor of granting Plaintiff’s motion for default judgment. 18 A. Prejudice to Plaintiff 19 The first factor considers whether the plaintiff would suffer prejudice if default judgment is not 20 entered, and potential prejudice to the plaintiff weighs in favor of granting a default judgment. See 21 Pepsico, Inc., 238 F. Supp. 2d at 1177. Generally, where default has been entered against a defendant, 22 a plaintiff has no other means by which to recover damages. Id.; Moroccanoil, Inc. v. Allstate Beauty 23 Prods., 847 F. Supp. 2d 1197, 1200-01 (C.D. Cal. 2012). Therefore, the Court finds Plaintiff would be 24 prejudiced if default judgment is not granted. 25 B. Merits of Plaintiff’s claims and the sufficiency of the complaint 26 Given the kinship of these factors, the Court considers the merits of Plaintiff’s substantive 27 claims and the sufficiency of the complaint together. See Premier Pool Mgmt. Corp. v. Lusk, 2012 U.S. 28 Dist. LEXIS 63350, at *13 (E.D. Cal. May 4, 2012). The Ninth Circuit has suggested that, when 1 combined, the factors require a plaintiff to “state a claim on which the plaintiff may recover.” Pepsico, 2 Inc., 238 F. Supp. 2d at 1175. Notably, a “defendant is not held to admit facts that are not well-pleaded 3 or to admit conclusions of law.” DIRECTV, Inc. v. Huynh, 503 F.3d 847, 854 (9th Cir.

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G & G Closed Circuit Events, LLC v. Barajas-Quijada, Counsel Stack Legal Research, https://law.counselstack.com/opinion/g-g-closed-circuit-events-llc-v-barajas-quijada-caed-2020.