Securities and Exchange Commission v. Campo

CourtDistrict Court, District of Columbia
DecidedSeptember 9, 2025
DocketCivil Action No. 2024-2198
StatusPublished

This text of Securities and Exchange Commission v. Campo (Securities and Exchange Commission v. Campo) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Securities and Exchange Commission v. Campo, (D.D.C. 2025).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

SECURITIES AND EXCHANGE COMIS- SION,

Plaintiff, Civil Action No. 24-2198 (TJK) v.

JUAN CAMPO,

Defendant.

MEMORANDUM OPINION

In July 2024, the Securities and Exchange Commission sued Juan Campo for several stat-

utory and regulatory violations he allegedly committed from 2019 to 2022. Because Campo lives

in Colombia, the Commission asked the Court for permission to serve him by email, which the

Court granted. Still, Campo failed to timely respond, so the Clerk of Court entered default against

him. Campo, appearing pro se, now moves to set aside the Clerk’s entry of default and dismiss

the complaint for insufficient service of process. He argues that the Court erred in permitting email

service because both the Hague Service Convention and the Constitution’s Due Process Clause

prohibit such service. The Court disagrees on both fronts. Thus, while the Court will grant

Campo’s motion to set aside the default, it will deny his motion to dismiss.

I. Background

The SEC alleges that from July 2019 to at least July 2022, Campo was the President and

CEO of View Systems, Inc. ECF No. 1 ¶¶ 1, 7. View Systems is a Colorado corporation with its

principal place of business in Maryland, and it has been registered with the SEC since August

1999. Id. ¶¶ 10–11. For most of its existence, View Systems manufactured and sold security and surveillance products, including a scanner that purportedly could detect concealed weapons. Id.

¶ 14. By 2018, however, it had “stopped selling its products almost entirely.” Id. So when Campo

joined View Systems in 2019, the company was generating almost no revenue. Id. ¶ 15. The SEC

alleges that, to artificially inflate the value of the company, Campo engaged in several fraudulent

schemes. Id. ¶¶ 1–4.

Thus, the SEC filed a civil enforcement suit against Campo for violating several provisions

of the Exchange Act and SEC rules. ECF No. 1 ¶¶ 70–81. By that point, however, Campo had

moved to Colombia. ECF No. 8 ¶ 3. So in August 2024, the SEC began the process of serving

Campo through the Colombian central authority under Article 5 of the Hague Service Convention.1

Id. ¶ 8. Rather than wait on that process, the SEC also moved for “confirmation” that it could

serve Campo via email under Federal Rule of Civil Procedure 4(f)(2)(A) or, alternatively, for per-

mission to serve Campo via email under Rule 4(f)(3). ECF No. 7. The Court granted the Rule

4(f)(3) aspect of the motion, Min. Order of Sept. 24, 2024, and the SEC served Campo the same

day, ECF No. 10-1 ¶¶ 2–3. Campo never responded, so the Clerk of Court entered default against

him. ECF No. 14.

Just over a month later, Campo, proceeding pro se, appeared and filed his Motion to Dis-

miss Default Judgment for Insufficient Service of Process. ECF No. 15. No default judgment has

yet been entered, so the Court construes his motion as one to set aside the Clerk’s entry of default.

See Fed. R. Civ. P. 55(c). Campo also requests that the complaint be dismissed under Rule 12(b)(5)

for insufficient service of process. ECF No. 15 at 10. The SEC opposes in part. While it does not

1 The Hague Service Convention’s official name is the Convention on the Service Abroad of Judicial and Extrajudicial Documents in Civil and Commercial Matters, Nov. 15, 1965, 20 U.S.T. 361, T.I.A.S. No. 6638.

2 oppose Campo’s request to set aside the entry of default, it opposes dismissal of the complaint.

ECF No. 16 at 3. Because of the “strong policies favoring the resolution of genuine disputes on

their merits,” Jackson v. Beech, 636 F.2d 831, 835 (D.C. Cir. 1980), and the SEC’s non-opposition,

the Court will set aside the entry of default. What remains is Campo’s request to dismiss the

complaint.

II. Legal Standard

Federal Rule of Civil Procedure 12(b)(5) governs a motion to dismiss for insufficient ser-

vice of process. “Upon such a motion, the plaintiff carries the burden of establishing that he has

properly effected service.” Hilska v. Jones, 217 F.R.D. 16, 20 (D.D.C. 2003). “To do so, he must

demonstrate that the procedure employed satisfied the requirements of the relevant portions of

Rule 4 [(which governs summonses)] and any other applicable provision of law.” Light v. Wolf,

816 F.2d 746, 751 (D.C. Cir. 1987). “[U]nless the procedural requirements for effective service

of process are satisfied, a court lacks authority to exercise personal jurisdiction over the defend-

ant.” Candido v. District of Columbia, 242 F.R.D. 151, 160 (D.D.C. 2007). Failure to effect

proper service is thus a “fatal” jurisdictional defect and is grounds for dismissal. See Tom Sawyer

Prods., Inc. v. Progressive Partners Achieving Solutions, Inc., 550 F. Supp. 2d 23, 26 (D.D.C.

2008).

III. Analysis

Campo’s argument that he has not been properly served is twofold. First, he claims that

service by email violates the Hague Service Convention and is therefore not authorized by Federal

Rule of Civil Procedure 4. Second, he argues that, even if email service complies with Rule 4, it

still violates due process. The Court disagrees.

3 A. The SEC’s Service on Campo by Email Was Not Prohibited by the Hague Ser- vice Convention

Rule 4(f), which governs service on individuals in foreign countries, provides three path-

ways for plaintiffs to serve defendants overseas. No one pathway takes priority over the others;

instead, plaintiffs can choose to effect service under any of the three options provided by the Rule.

Rio Props., Inc. v. Rio Int’l Interlink, 284 F.3d 1007, 1015 (9th Cir. 2002). Rule 4(f)(3) provides

that plaintiffs may serve defendants “by other means not prohibited by international agreement, as

the court orders.” As discussed, the SEC moved under this Rule for authorization to serve Campo

via email, which the Court granted. Min. Order of Sept. 24, 2024. In so ruling, the Court con-

cluded that under Rule 4(f)(3), “no international agreement prohibit[s] email service.” Id. Campo

disagrees. He argues that the Hague Service Convention, and thus Rule 4, prohibited the SEC

from serving him in that way. Not so.

The Hague Service Convention is a 1965 multilateral treaty that “was intended to provide

a simpler way to serve process abroad, to assure that defendants sued in foreign jurisdictions would

receive actual and timely notice of suit, and to facilitate proof of service abroad.” Volkswagenwerk

Aktiengesellschaft v. Schlunk, 486 U.S. 694, 698 (1988). “The primary innovation of the Conven-

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