MAERSK LINE v. TJM INTERNATIONAL LIMITED LIABILITY COMPANY

CourtDistrict Court, D. New Jersey
DecidedJuly 3, 2019
Docket1:18-cv-11668
StatusUnknown

This text of MAERSK LINE v. TJM INTERNATIONAL LIMITED LIABILITY COMPANY (MAERSK LINE v. TJM INTERNATIONAL LIMITED LIABILITY COMPANY) 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
MAERSK LINE v. TJM INTERNATIONAL LIMITED LIABILITY COMPANY, (D.N.J. 2019).

Opinion

UNITED STATES DISTRICT COURT DISTRICT OF NEW JERSEY

MAERSK LINE,

Plaintiff,

v. Civil No. 18-11668 (NLH/KMW)

TJM INTERNATIONAL LIMITED OPINION LIABILITY COMPANY, MARSH AND ASSOCIATES SIGNING SERVICES, LLC, and CHERYL MARSH,

Defendants.

APPEARANCES:

RICK A. STEINBERG PRICE MEESE SHULMAN & D’ARMINO, P.C. 50 TICE BLVD, STE. 380 WOODCLIFF LAKE, NJ 07677

Attorney for Maersk Line.

HILLMAN, District Judge

This is a breach of contract action concerning Plaintiff’s transport of cargo for the benefit of Defendants from 2012-2015. Presently before this Court is Plaintiff’s Amended Motion for Default Judgment against Defendants TJM International Limited Liability Company (“TJM International”) and Marsh and Associates Signing Services, LLC (“Marsh and Associates,” and collectively with TJM International, “Entity Defendants”). Entity Defendants have not opposed this motion. For the reasons stated herein, Plaintiff’s Amended Motion for Default Judgment will be granted. BACKGROUND

This Court takes its facts from Plaintiff’s Complaint. According to the complaint, Plaintiff is a common carrier by water in interstate and foreign commerce as defined by the Shipping Act, and was such a common carrier when it performed services for Defendants. Entity Defendants are limited liability companies formed in and citizens of New Jersey.1 Plaintiff alleges it fully performed transportation services for Defendants pursuant to written contracts of carriage between Plaintiff and Defendants, except those obligations, if any, which Plaintiff was excused from performing. Plaintiff demanded Defendants pay the amount due under the contracts, but Defendants have refused to pay.

Plaintiff alleges that TJM International and Marsh and Associates are the agent or alter ego of each other. Entity Defendants are “Merchants” as defined by the terms and conditions of Plaintiff’s bills of lading. Plaintiff pleads the following counts: (1) for money due under tariff or service contracts per the Shipping Act, (2) breach of contract, (3)

1 Plaintiff has not requested the clerk enter default against Cheryl Marsh and does not move for a default judgment against her. unjust enrichment, (4) quantum meruit, (5) account stated, and (6) attorney’s fees. Plaintiff alleges Defendants are liable for the payment of invoiced amounts, interest due on outstanding

and overdue sums, and reasonable attorney’s fees and expenses incurred in collecting any sums due. Plaintiff alleges the services received by Defendants equals $62,437.50.2 Plaintiff filed its complaint on July 16, 2018, and it was served on Defendants on July 19, 2018. Defendants, as of the date of this Opinion, have failed to appear in this action. The Clerk entered default on September 6, 2018 against Entity Defendants. On November 8, 2018, Plaintiff filed its Motion for Default Judgment against Entity Defendants. On April 18, 2019, this Court denied, without prejudice, Plaintiff’s Motion for Default Judgment for failing to specify the claims and elements constituting the basis of the request for default judgment and

for failing to file documents evidencing the contractual relationship between the parties and the value of the services provided. Plaintiff filed its Amended Motion for Default Judgment against Entity Defendants on May 15, 2019. Entity

2 Plaintiff’s Complaint asserts damages of $68,687.50. However, upon examination of its records, Plaintiff has determined it only possesses proof of a lesser amount of damages, than stated supra. Since the amount of damages is not deemed admitted on a default judgment motion and the requested damages are less than originally requested, this difference is of no moment. This Court solely notes it here for clarity of the record. Defendants have not responded within the time specified; thus, this motion is fully briefed and ripe for adjudication. ANALYSIS A. Subject Matter Jurisdiction

This Court possesses jurisdiction over this case pursuant to 28 U.S.C. §§ 1331, 1333, and 1367. Plaintiff asserts a claim under a federal statute, the Shipping Act, 46 U.S.C. § 41102. Subject matter jurisdiction also lies in Admiralty. B. Personal Jurisdiction In addition to subject matter jurisdiction, this Court must also be satisfied it possesses personal jurisdiction over Defendants. See U.S. Life Ins. Co. v. Romash, No. 09-3510 (GEB), 2010 U.S. Dist. LEXIS 57276, at *3-4 (D.N.J. June 9, 2010) (“Before entering default judgment, the court must address the threshold issue of whether it has subject matter

jurisdiction and personal jurisdiction over the parties.” (citing Williams v. Life Sav. & Loan, 802 F.2d 1200, 1203 (10th Cir. 1986))). It appears this Court possesses personal jurisdiction over Entity Defendants. Plaintiff alleges Entity Defendants are citizens of New Jersey. This Court is satisfied personal jurisdiction over Entity Defendants exists in this case on the basis of general jurisdiction.3 C. Default The first step in obtaining a default judgment is the entry

of default. “When a party against whom a judgment for affirmative relief is sought has failed to plead or otherwise defend, and that failure is shown by affidavit or otherwise, the Clerk must enter the party’s default.” FED. R. CIV. P. 55(a). The Clerk entered default against Entity Defendants on September 6, 2018. D. Default Judgment “Federal Rule of Civil Procedure 55(b)(2) authorizes courts to enter a default judgment against a properly served defendant who fails to a file a timely responsive pleading.” Chanel v. Gordashevsky, 558 F. Supp. 2d 532, 535 (D.N.J. 2008) (citing Anchorage Assocs. v. Virgin Is. Bd. of Tax Rev., 922 F.2d 168,

3 New Jersey has authorized personal jurisdiction to the “outermost limits permitted by the United States Constitution.” Avdel Corp. v. Mecure, 277 A.2d 207, 209 (N.J. 1971). The Constitution authorizes personal jurisdiction “under two distinct theories, a defendant’s general or claim-specific contacts with the forum,” when a defendant is foreign to the forum. Remick v. Manfredy, 238 F.3d 248, 255 (3d Cir. 2001). Here, personal jurisdiction may be exercised under the general jurisdiction theory because Entity Defendants’ operations of limited liability companies in Willingboro, New Jersey create contacts that are “continuous and systematic” so that it could be reasonably stated that Defendants have “purposefully avail[ed themselves] of the privilege of conducting activities within” New Jersey. Id. (citations and internal quotation marks omitted). 177 n.9 (3d Cir. 1990)). But a party seeking default judgment “is not entitled to a default judgment as of a right.” Franklin v. Nat'l Mar. Union of Am., No. 91-480, 1991 U.S. Dist. LEXIS

9819, at *3-4 (D.N.J. 1991) (quoting 10 Wright, Miller & Kane, Federal Practice and Procedure § 2685 (1983)), aff'd, 972 F.2d 1331 (3d Cir. 1992). The decision to enter a default judgment is “left primarily to the discretion of the district court.” Hritz v. Woma Corp., 732 F.2d 1178, 1180 (3d Cir. 1984).

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