Opinion
No. C 01-0471 CRB
July 18, 2001
ORDER GRANTING MOTION FOR DEFAULT JUDGMENT
Now before the Court is plaintiffs' motion for a default judgment. Having carefully reviewed the papers submitted by the plaintiff, the Court concludes pursuant to Local Rule 7-1(b) that oral argument is unnecessary and that the motion for default judgment shall be GRANTED.
Plaintiff Trust Funds are employee benefit plans established under a Collective Bargaining Agreement ("CBA") between, among others, Operating Engineers Local Union No. 3 and certain employers, including defendant. Defendant Florentino Rosas, a sole proprietor, entered into the CBA on August 17, 1992 which has continued in full force and effect during the periods at issue in this lawsuit. The CBA requires defendant to regularly pay certain sums of money, the amounts of which are determined by the monthly hours worked by defendants' employees.
Plaintiffs filed this action to recover delinquent contributions to employee benefit funds, plus interest, liquidated damages, attorneys' fees, and costs in February 2001 and, according to plaintiffs' proof of service, served defendant Rosas with the complaint on February 28, 2001. Rosas never answered or otherwise responded to the complaint and the clerk entered default as to him on March 30, 2001. On June 11, 2001 plaintiffs subsequently moved for entry of default judgment. Although Rosas was served with the motion for default judgment, as of the date of this Order Rosas has still not answered the complaint, responded to the motion for default judgment, or otherwise communicated with the Court.
ERISA provides that
[e]very employer who is obligated to make contributions to a multiemployer plan under the terms of a collectively bargained agreement shall to the extent not inconsistent with law, make such contributions in accordance with the terms and conditions of such plan or such agreement.29 U.S.C. § 1145. ERISA also authorizes an award of interest on delinquent and unpaid contributions, as well as liquidated damages and attorney's fees and costs in an action for collection of contributions. 29 U.S.C. § 1132(g). In the Ninth Circuit, to qualify for an award statutory liquidated damages, unpaid contributions must exist at the time the lawsuit was filed. See Idaho Plumbers Pipe Fitters Health and Welfare Fund v. United Mechanical Contractors, Inc., 875 F.2d 212 (9th Cir. 1989).
When plaintiffs filed this lawsuit, contributions due for the time period September 2000 through February 2001 were overdue and delinquent. Accordingly, plaintiffs are entitled to liquidated damages. As of the filing of plaintiffs' motion for default judgment, contributions are still unpaid for this time period.
As defendant Rosas has not answered the complaint, and as the recovery sought by plaintiffs is readily ascertainable and certain, the motion for default judgment is GRANTED in the total amount of $68,091.42. This amount consists of the following: $52,588.86 for contributions owed for work performed from October 2001 through February 2001, $12,089.56 for liquidated damages and interest, and $3,413.00 for costs and attorneys' fees.