Northwest Administrators, Inc. v. Cy Expo LLC

CourtDistrict Court, W.D. Washington
DecidedMarch 2, 2026
Docket2:25-cv-01472
StatusUnknown

This text of Northwest Administrators, Inc. v. Cy Expo LLC (Northwest Administrators, Inc. v. Cy Expo LLC) is published on Counsel Stack Legal Research, covering District Court, W.D. Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Northwest Administrators, Inc. v. Cy Expo LLC, (W.D. Wash. 2026).

Opinion

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3 4 5 6 7 UNITED STATES DISTRICT COURT WESTERN DISTRICT OF WASHINGTON 8 AT SEATTLE

9 10 NORTHWEST CASE NO. C25-1472JLR ADMINISTRATORS, INC., 11 ORDER Plaintiff, 12 v.

13 CY EXPO LLC, 14 Defendant. 15 I. INTRODUCTION 16 Before the court is Plaintiff Northwest Administrators, Inc.’s (“NWA”) motion for 17 default judgment. (Mot. (Dkt. # 7).) NWA is the authorized administrative agency for 18 and the assignee of the Western Conference of Teamsters Pension Trust Fund (the 19 “Trust”). (Compl. (Dkt. # 1) ¶ I.) The Trust provides retirement benefits to eligible 20 participants, including Defendant CY Expo LLC (“CY Expo”), that agree to contribute to 21 the Trust in accordance with their collective bargaining agreements. (See id. ¶¶ II, VI.) 22 1 NWA alleges that CY Expo failed to timely pay required contributions to the Trust under 2 a collective bargaining agreement with Local 631 of the International Brotherhood of

3 Teamsters (“Local 631”) in May 2025. (Id. ¶¶ VI, VIII.) NWA seeks judgment for 4 delinquent contributions, liquidated damages, pre-judgment interest, attorney’s fees, and 5 costs. (Id. at 4.) 6 NWA served CY Expo on August 12, 2025. (Return of Service (Dkt. # 4).) CY 7 Expo failed to appear or otherwise respond to NWA’s complaint. (See generally Dkt.) 8 The court entered default against CY Expo on November 3, 2025. (Default (Dkt. # 6).)

9 NWA filed this motion for entry of default judgment on February 17, 2026. (Mot.) 10 II. ANALYSIS 11 A. Jurisdiction 12 Before entering default judgment, the court must confirm that it has both subject 13 matter and personal jurisdiction. See In re Tuli, 172 F.3d 707, 712 (9th Cir.

14 1999) (“When entry of judgment is sought against a party who has failed to plead or 15 otherwise defend, a district court has an affirmative duty to look into its jurisdiction over 16 both the subject matter and the parties.”). The court has subject matter jurisdiction under 17 the Employee Retirement Income Security Act (“ERISA”), 29 U.S.C. § 1132(e)-(f) and 18 the Taft-Hartley Act, 29 U.S.C. § 185(a). (Compl. at 2.) The court has personal

19 jurisdiction over CY Expo based on its failure to make payments to the Trust, which is 20 administered in Washington. (See id.) As a result, the court is satisfied that it has 21 jurisdiction to enter default judgment against CY Expo. 22 1 B. Legal Standard 2 Federal Rule of Civil Procedure 55(b)(2) authorizes the court to enter default

3 judgment against a defaulting defendant upon the plaintiff’s motion. Fed. R. Civ. P. 4 55(a), (b)(2). After default is entered, well-pleaded factual allegations in the complaint, 5 except those related to damages, are considered admitted and are sufficient to establish a 6 defendant’s liability. TeleVideo Sys., Inc. v. Heidenthal, 826 F.2d 915, 917-18 (9th Cir. 7 1987) (citing Geddes v. United Fin. Grp., 559 F.2d 557, 560 (9th Cir. 1977)). 8 Entry of default judgment is left to the court’s discretion. Aldabe v. Aldabe, 616

9 F.2d 1089, 1092 (9th Cir. 1980). In exercising its discretion, the court considers seven 10 factors (the “Eitel factors”): (1) the possibility of prejudice to the plaintiff if relief is 11 denied; (2) the substantive merits of the plaintiff’s claims; (3) the sufficiency of the 12 claims raised in the complaint; (4) the sum of money at stake in relationship to the 13 defendant’s behavior; (5) the possibility of a dispute concerning material facts;

14 (6) whether default was due to excusable neglect; and (7) the preference for decisions on 15 the merits when reasonably possible. Eitel v. McCool, 782 F.2d 1470, 1471-72 (9th Cir. 16 1986). If the court determines that default judgment is appropriate, it must then 17 determine the amount and character of the relief that should be awarded. See TeleVideo, 18 826 F.2d at 917-18.

19 C. NWA Is Entitled to Default Judgment. 20 The court applies the Eitel factors to this case and concludes that they favor entry 21 of default judgment on NWA’s claim against CY Expo. 22 1 1. Possibility of Prejudice to NWA 2 The first Eitel factor considers whether the plaintiff will suffer prejudice if default

3 judgment is not entered. See PepsiCo, Inc., v. Cal. Sec. Cans, 238 F. Supp. 2d 1172, 4 1177 (C.D. Cal. 2002). Without default judgment, NWA will suffer prejudice because it 5 will “be denied the right to judicial resolution” of its claims and will be “without other 6 recourse for recovery.” Elektra Entm’t Grp. Inc. v. Crawford, 226 F.R.D. 388, 392 (C.D. 7 Cal. 2005). Thus, the first Eitel factor weighs in favor of entering default judgment. 8 2. Sufficiency and Merits of NWA’s Complaint

9 The second and third Eitel factors—the substantive merits of the plaintiff’s claim 10 and the sufficiency of the plaintiff’s complaint—are frequently analyzed together. 11 PepsiCo, 238 F. Supp. 2d at 1175. For these two factors to weigh in favor of default 12 judgment, the complaint’s allegations must be sufficient to state a claim for relief. 13 Danning v. Lavine, 572 F.2d 1386, 1388 (9th Cir. 1978). A complaint satisfies this

14 standard when it “contain[s] sufficient factual matter, accepted as true, to ‘state a claim to 15 relief that is plausible on its face.’” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (quoting 16 Bell Atlantic Corp. v. Twombly, 550 U.S 544, 570 (2007)). At the default judgment 17 stage, the court “must take the well-pleaded factual allegations [in the complaint] as true” 18 but “necessary facts not contained in the pleadings, and claims which are legally

19 insufficient, are not established by default.” Cripps v. Life Ins. Co. of N. Am., 980 F.2d 20 1261, 1267 (9th Cir. 1992). 21 Here, NWA alleges that CY Expo is bound to a collective bargaining agreement 22 and Trust Agreement with Local 631 under which it was required to report for and pay 1 monthly contributions to the Trust, as well as to pay liquidated damages of 20% of 2 contributions, interest, and reasonable attorneys’ fees in the event of nonpayment. (See

3 Compl. ¶¶ VI-VII; see also Williams Decl. (Dkt. # 8) ¶¶ 4, 6, Exs. A (Employer-Union 4 Pension Certification), B (Trust Agreement) at 6.) NWA further alleges that CY Expo 5 breached the agreement by failing to make a timely payment to the Trust in May 2025. 6 (Compl. ¶ VIII; see Williams Decl. ¶¶ 8-9, Exs. C, D.) The court concludes that NWA 7 has sufficiently pleaded a claim for breach of contract. 8 3. The Sum of Money at Stake

9 For the fourth Eitel factor, the court considers the amount of money at stake in 10 relation to the seriousness of the defendant’s conduct. PepsiCo, Inc. v. Cal. Sec. Cans, 11 238 F. Supp. 2d 1172, 1176 (C.D. Cal. 2002).

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