King v. Evans

421 A.2d 1228, 281 Pa. Super. 219, 1980 Pa. Super. LEXIS 3131
Superior Court of Pennsylvania·Decided September 19, 1980·No. 2139·Published·Cited by 8 cases

Opinion

CAVANAUGH, Judge:

The sole issue on this appeal is whether the court below erred in granting the petition of the appellee, Borough of Ashley, to open a default judgment.

The facts in this case, which are substantially undisputed, are as follows. Wrongful death and survival actions were commenced by the Administratrix of the estate of a thirteen year old boy who was killed as a result of an accident which allegedly involved the Borough of Ashley and others. A copy of the complaint was served on the secretary of the Borough of Ashley on August 16, 1976. In August or September, 1976, the secretary gave the complaint to the Borough Solicitor, Bernard J. Hendrzak, Esquire, “. . . assuming that he took care of all legal matters . . . . ” The Borough had established no procedure to be followed in the event of a lawsuit and according to the solicitor this was the first lawsuit against the Borough. The Borough secretary had never received instructions from any of the councilmen or the mayor as to what her duties were. She testified, “Our previous secretary died and I took over, you know, without knowing a thing about it and I don’t think anybody *222 else knew anything.” Mr. Hendrzak, who had been Borough solicitor for some time prior to August, 1976, and remained the solicitor until at least April of 1978, acknowledged receiving the complaint from the secretary at a council meeting, probably on the second Monday of September, 1976. Mr. Hendrzak assumed that the insurance company had been notified of the suit and that they were going to defend the action in the normal way. He then put the copy of the complaint in the Borough file and did nothing else concerning it. The matter was next brought to his attention when he received notice that a default judgment had been entered by the appellant against the Borough on November 4, 1977 for failure to file an answer or enter an appearance. On November 10, 1977 Mr. Hendrzak wrote to counsel for appellant requesting that a stipulation be entered allowing the opening of the judgment and the filing of a responsive pleading. 1 The attorney for the appellant advised Mr. Hendrzak that he would not agree to opening the default judgment. 2 On August 10, 1978, appellee, Borough of Ashley, filed a petition to open the default judgment. By order *223 of September 27, 1979, the court below granted the petition and the Borough of Ashley was permitted to enter an appearance and file a responsive pleading. From this order, the appellant has filed this appeal.

The law is clear with respect to opening of judgments entered by default. A court should exercise its equitable discretion in opening a default judgment only where the following three factors coalesce: (1) the petition has been promptly filed; (2) a meritorious defense can be shown; and (3) the failure to appear or file an answer can be excused. Day v. Wilkie Buick Company, 239 Pa.Super. 71, 73, 361 A.2d 823, 824 (1976). 3 Since the grant or denial of a petition to open a default judgment is within the court’s equitable powers, the discretion of the court will not be overturned unless there is a clear, manifest abuse of discretion. St. Vladimir Ukranian Orthodox Church v. Preferred Risk Mutual Insurance Company, 239 Pa.Super. 492, 497, 362 A.2d 1052, 1056 (1976); see also Kilgillen v. Kutna, 226 Pa.Super. 323, 327, 310 A.2d 396 (1973).

The court below did not deal with the issue of prompt filing of the petition to open except to state, “While there was some delay in filing the petition to open the default judgment by the Borough solicitor, the solicitor did promptly write to Plaintiff’s Counsel immediately upon learning of the entry of the default judgment.” (Opinion of the court below, p. 3). A letter to opposing counsel does not meet the requirements of prompt filing of a petition to open. Once a default judgment is entered against the defendant for failure to enter an appearance or file an answer, a sense of urgency should compel counsel to take immediate corrective action to remove the judgment against his client. The concept of a default judgment is based on a litigant’s failure *224 to do something that he should have done to protect his interests. Once a party learns that a default judgment has been entered against him, indifferent conduct must be replaced with that consistent with the exigency of the situation.

In the instant case, appellee’s solicitor learned on or shortly after November 4, 1977 that a default judgment had been entered against the Borough. He promptly requested that the appellant stipulate to open the judgment, which appellant refused to do. On August 10, 1978, more than nine months after the entry of the default judgment the petition to open was filed in the court below. The record does not disclose any reason whatsoever for the long delay in the filing of the petition to open. The law does not establish a certain number of days which constitutes a cutoff point between a prompt filing of a petition to open and one which is not timely filed. In some cases it is evident that the petition to open has been promptly filed. In DiNenno v. Great Atlantic and Pacific Tea Company, 245 Pa.Super. 498, 369 A.2d 738 (1976), the petition to open was filed fifteen days after the entry of a default judgment, and this Court held that: “Clearly the petition to open was promptly filed.” 245 Pa.Super. at 500, 369 A.2d at 739. See also: Quaker Transit Company, Inc. v. Jack W. Blumenfield and Company, 277 Pa.Super. 393, 419 A.2d 1202 (1980), in which this Court held that a petition to open filed fourteen days after the default judgment had been entered was timely filed.

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King v. Evans, 421 A.2d 1228, 281 Pa. Super. 219, 1980 Pa. Super. LEXIS 3131 (Pa. Ct. App. 1980).

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