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Biton v. Palestinian Interim Self Government Authority

United States District Court, D. Columbia
Nov 27, 2002
233 F. Supp. 2d 31 (D.D.C. 2002)

Summary

holding that, in assessing the factual circumstances asserted by the parties, in context of a motion to set aside default, all doubts are resolved in favor of the party seeking relief.

Summary of this case from Steele v. Burek

Opinion

Civil Action No. 01-382 (RWR)

November 27, 2002


MEMORANDUM OPINION AND ORDER


Plaintiffs brought this action under the successor to the Antiterrorism Act of 1991, 18 U.S.C. § 2331-2339 (2000), alleging that the defendants were involved in the November 2000 bombing of a school bus in the Gaza Strip which killed plaintiff Avigail Biton's husband and severely injured plaintiff Rachel Asraf. Defendants, the Palestinian Interim Self Government Authority ("PA") and the Palestinian Liberation Organization ("PLO"), move to set aside default entered against them and move for leave to file late a motion to dismiss the complaint, while plaintiffs move for entry of default judgment against those two defendants. Although defendants' vague and unsupported explanations for their failure to respond to the complaint timely seem meritless, the circumstances, on balance, favor setting aside default and defendants' motions will be granted.

BACKGROUND

Plaintiffs filed a second amended complaint and served defendants by mail on October 22, 2001. The parties simultaneously filed a stipulation giving defendants' counsel 45 days from receipt of the second amended complaint to respond. The Court signed the stipulation and entered it as an order. Defendants failed to respond timely and sought no extension of time within which to respond. On February 7, 2002, plaintiffs moved for entry of default against the PA and the PLO, and the clerk entered default. Default was entered apparently just as defendants were arranging to deliver for filing a motion to dismiss. Upon learning of the entry of default, defendants filed shortly thereafter a motion to set aside default and for leave to file their motion to dismiss, while plaintiffs filed a motion for entry of default judgment against the PA and the PLO.

DISCUSSION

Resolving litigation by default is disfavored 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). Thus, entry of default may be set aside merely "for good cause shown." Fed.R.Civ.P. 55(c).

In determining whether good cause is shown, courts balance three factors: whether "1) the default was willful, 2) a set-aside would prejudice plaintiff, and 3) the alleged defense was meritorious. . . ." Keegel v. Key West Caribbean Trading Co., 627 F.2d 372, 373 (D.C. Cir. 1980); see also Baade v. Price, 175 F.R.D. 403, 405-406 (D.D.C. 1997) (citing Jackson, 636 F.2d at 836).

In assessing the factual circumstances asserted by the parties, "all doubts are resolved in favor of the party seeking relief." Jackson, 636 F.2d at 836 (citation omitted).

Defendants offer two explanations for their delay. They say that the escalating Palestinian-Israeli conflict hampered communications necessary to prepare a response, and that defendants needed to coordinate their positions taken in multiple pending cases. Defendants have supplied no specifics — by proffer, affidavit, or otherwise — to support these claims. They have failed to identify who sought to communicate with whom and how, when it was, what specific events prevented the contacts, and what specifically prevented any claimed need to coordinate their litigation positions.

Most tellingly, defendants never sought from the Court or the plaintiffs an extension on their deadline, and wholly fail to explain why they did not or could not. Defendants' explanations for their delay sound more like hollow excuses. My duty to accord the defendants the benefit of the doubt, however, keeps me from finding defendants' default to have been willful.

The second factor is whether setting aside default would prejudice the plaintiffs. Plaintiffs do not argue that it would, nor is any possible prejudice apparent. This case is procedurally in its early stages. No discovery has been conducted, and no summary judgment motions have been filed.

In addition, the plaintiffs' entire case against the remaining defendants lies ahead of them.

Finally, regarding the presence of a meritorious defense, defendants have raised in their proposed motion to dismiss several affirmative defenses, including lack of subject matter jurisdiction, lack of in personam jurisdiction and non-justiciability. It is too early in this litigation to gauge the strength of those defenses, but the "[l]ikelihood of success is not the measure" here. Keegel, 627 F.2d at 374. "Defendants' allegations are meritorious if they contain even a hint of a suggestion which, proven at trial, would constitute a complete defense." Id. (citations and internal quotations omitted). Defendants' proffered defenses meet this standard.

CONCLUSION

Because this case should be resolved on the merits and the circumstances do not support allowing the entry of default to remain, defendants' motion to set aside default will be granted. Because defendants were not wholly unresponsive litigants, but were simply, albeit inexcusably, late in responding, plaintiffs' motion for default judgment will be denied. Therefore, it is hereby

ORDERED that defendants' motion and amended motion to set aside default [13, 18] be, and hereby are, GRANTED, and the defaults [11, 12] entered against the defendants are hereby VACATED. It is further

ORDERED that the plaintiffs' motion for entry of default judgment [19] be, and hereby is, DENIED. It is further

ORDERED that defendants' motion and amended motion for leave to file motion to dismiss [13, 18] be, and hereby are, GRANTED. The Clerk shall file and docket defendants' motion to dismiss second amended complaint that is attached to defendants' motion for leave to file [13]. Plaintiffs shall have 60 days from the date this Order is signed to respond. It is further

ORDERED that plaintiffs' motion in the alternative for discovery, and to stay [16] be, and hereby is, DENIED.


Summaries of

Biton v. Palestinian Interim Self Government Authority

United States District Court, D. Columbia
Nov 27, 2002
233 F. Supp. 2d 31 (D.D.C. 2002)

holding that, in assessing the factual circumstances asserted by the parties, in context of a motion to set aside default, all doubts are resolved in favor of the party seeking relief.

Summary of this case from Steele v. Burek

finding that a default was not willful where defendants filed a motion for set aside shortly after entry of default

Summary of this case from Enka Insaat Ve Sanayi A.S. v. Gabonese Republic

finding default not willful because, even though "[d]efendants' explanations for their delay sound [] like hollow excuses," and defaulting party had "supplied no specifics—by proffer, affidavit, or otherwise—to support [its] claims," but nonetheless "accord[ing] the defendants the benefit of the doubt"

Summary of this case from Africa Growth Corp. v. Republic Angola

finding no prejudice where case was "procedurally in its early stages" and no discovery had been conducted or motions filed

Summary of this case from Flanagan v. Islamic Republic of Iran

finding no prejudice to the plaintiffs when "no discovery ha[d] been conducted, and no summary judgment motions ha[d] been filed"

Summary of this case from Acree v. Republic of Iraq

resolving "doubt" in favor of defendants, and finding default not willful, where defendants filed a motion to set aside default "shortly after" Clerk's entry of default, and within five months of when plaintiffs had filed a second amended complaint

Summary of this case from Flanagan v. Islamic Republic of Iran

observing that "[l]ikelihood of success is not the measure for determining whether a defense is meritorious"

Summary of this case from Haskins v. U.S. One Transportation, LLC

stating that "[l]ikelihood of success is not the measure" for determining whether a defense is meritorious"

Summary of this case from Acree v. Republic of Iraq
Case details for

Biton v. Palestinian Interim Self Government Authority

Case Details

Full title:AVIGAIL LEWIS BITON, et al., Plaintiffs, v. THE PALESTINIAN INTERIM SELF…

Court:United States District Court, D. Columbia

Date published: Nov 27, 2002

Citations

233 F. Supp. 2d 31 (D.D.C. 2002)

Citing Cases

Flanagan v. Islamic Republic of Iran

See, e.g. , Shatsky , 795 F.Supp.2d at 81–82 (finding default willful, but nevertheless setting aside…

Enka Insaat Ve Sanayi A.S. v. Gabonese Republic

Moreover, the Flanagan case can be distinguished because that case involved a four year delay in Sudan's…