Opinion
357585
08-19-2021
LC No. 20-006355-NZ
Jane M. Beckering, James Robert Redford Judges.ORDER
Jane E. Markey Presiding Judge
The motion for immediate consideration is GRANTED.
The motion for peremptory reversal is DENIED as moot.
Pursuant to MCR 7.205(E)(2), in lieu of granting the application for leave to appeal, the May 28, 2021 bench ruling of the Ottawa Circuit Court granting the motion to set aside default is PEREMPTORILY REVERSED, the June 22, 2021 order effectuating that bench ruling is VACATED, and this matter is REMANDED to the circuit court for further proceedings. The circuit court abused its discretion when it granted the motion to set aside default. ISB Sales Co v Dave's Cakes, 258 Mich.App. 520, 526; 672 N.W.2d 181 (2003). The plain language of MCR 2.603(D)(1) indicates that a defendant may seek to set aside a default or default judgment by showing a lack of personal jurisdiction, but that absent such a showing, a defaulted defendant must both show good cause and file an affidavit of facts indicating a meritorious defense. Defendants Shofner and SLG sought to set aside the default on the basis of a lack of personal jurisdiction. The circuit court granted the motion solely because Shofner and SLG were asserting a jurisdictional challenge, not because defendants had shown a lack of personal jurisdiction. Indeed, the court expressly declined to address the merits of the jurisdictional challenge at that time. The ruling of the circuit court is inconsistent with the plain language of MCR 2.603(D)(1). On remand, the court shall reconsider the question whether the default should be set aside after the court rules on the merits of the jurisdictional question. This order has immediate effect. MCR 7.215(F)(2). We do not retain jurisdiction.