V. Alan Riley, Esq.
Keyser, West Virginia
Attorney for Appellant
The Opinion of the Court was delivered PER CURIAM.
1. A motion to vacate a default judgment is addressed to the sound
discretion of the court and the court's ruling on such motion will not be disturbed on
appeal unless there is a showing of an abuse of such discretion. Syllabus Point 3,
Intercity Realty Co. v. Gibson, 154 W.Va. 369, 175 S.E.2d 452 (1970).
2. In determining whether a default judgment should be entered in the
face of a Rule 6(b) motion or vacated upon a Rule 60(b) motion, the trial court should
consider: (1) The degree of prejudice suffered by the plaintiff from the delay in
answering; (2) the presence of material issues of fact and meritorious defenses; (3) the
significance of the interests at stake; and (4) the degree of intransigence on the part of the
defaulting party. Syllabus Point 3, Parsons v. Consolidated Gas Supply Corp., 163
W.Va. 464, 256 S.E.2d 758 (1979).
Per Curiam:
This case is before this Court upon appeal of a final order of the Circuit
Court of Mineral County entered on June 28, 1999. In that order, the circuit court denied
a motion to set aside a default judgment entered against Georgianna B. Liller, the appellant
and defendant below in a civil action filed by Robert Diehl, the appellee and plaintiff
below. On appeal, Ms. Liller contends that the default judgment should be set aside
pursuant to Rule 60(b) of the West Virginia Rules of Civil Procedure. We disagree, and
for the reasons set forth below, affirm the final order of the circuit court.
On May 14, 1998, Mr. Diehl filed a complaint in the Circuit Court of
Mineral County against Ms. Liller alleging that he had given her $9,500.00 for storage and
safekeeping and that she now refused to return his money. Ms. Liller was served a copy
of the complaint on July 23, 1998. Within a few days of receiving the compliant, Ms.
Liller became ill and was hospitalized with severe pancytopenia, anemia, and bronchitis.
Ms. Liller remained hospitalized for two weeks and was released on August 14, 1998.
According to Ms. Liller, due to her illness, she had no recollection of having
been served with the complaint. Thus, she did not understand why she was later served
with a Suggestion resulting from a default judgment entered against her on August 28,
1998. Finally, on September 13, 1998, Ms. Liller wrote letters to the circuit court, the
sheriff of Mineral County, and the attorneys involved in this matter. Ms. Liller's letter
to the circuit court was treated as a motion to set aside the default judgment, and a hearing
on the motion was scheduled for December 15, 1998. Shortly before the hearing, Ms.
Liller obtained counsel to represent her.
During the hearing on the motion to set aside the default judgment, Ms.
Liller presented her medical records showing that she was ill and was hospitalized shortly
after she was served with the complaint. The circuit court took the motion under
advisement and ordered Ms. Liller to submit additional affidavits.
According to counsel for Ms. Liller, two affidavits were supplied to counsel
for Mr. Diehl on January 28, 1999, three weeks after the date set by the circuit court.
However, Mr. Diehl's counsel indicated that he did not receive the affidavits until April
1999. In any event, the circuit court denied the motion to set aside the default judgment
on June 9, 1999, without any further hearing. This appeal followed.
The sole issue in this case is whether the circuit court erred by denying Ms.
Liller's motion to set aside the default judgment entered against her on August 28, 1998.
Pursuant to Rule 55(a) of the West Virginia Rules of Civil Procedure, a default judgment
may be entered when a party against whom a judgment for affirmative relief is sought has
failed to plead or otherwise defend[.] However, Rule 55(c) states that the court may set
aside the default judgment in accordance with Rule 60(b). Rule 60(b) provides:
On motion and upon such terms as are just, the court may
relieve a party or a party's legal representative from a final
judgment, order, or proceeding for the following reasons: (1)
Mistake, inadvertence, surprise, excusable neglect, or
unavoidable cause; (2) newly discovered evidence which by
due diligence could not have been discovered in time to move
for a new trial under Rule 59(b); (3) fraud (whether heretofore
denominated intrinsic or extrinsic), misrepresentation, or other
misconduct of an adverse party; (4) the judgment is void; (5)
the judgment has been satisfied, released, or discharged, or a
prior judgment upon which it is based has been reversed or
otherwise vacated, or it is no longer equitable that the
judgment should have prospective application; or (6) any other
reason justifying relief from the operation of the judgment.
In Syllabus Point 3 of Intercity Realty Co. v. Gibson, 154 W.Va. 369, 175
S.E.2d 452 (1970), this Court held that: A motion to vacate a default judgment is
addressed to the sound discretion of the court and the court's ruling on such motion will
not be disturbed on appeal unless there is a showing of an abuse of such discretion. This
Court further held in Syllabus Point 3 of Parsons v. Consolidated Gas Supply Corp., 163
W.Va. 464, 256 S.E.2d 758 (1979):
In determining whether a default judgment should be entered
in the face of a Rule 6(b) motion or vacated upon a Rule 60(b)
motion, the trial court should consider: (1) The degree of
prejudice suffered by the plaintiff from the delay in answering;
(2) the presence of material issues of fact and meritorious
defenses; (3) the significance of the interests at stake; and (4)
the degree of intransigence on the part of the defaulting party.
In this case, Ms. Liller contends that her medical records show that she
became ill and was hospitalized shortly after she was served with the complaint thereby
establishing excusable neglect as set forth in Rule 60(b). However, the circuit court's
final order states that the the Defendant has not shown why she failed to act upon the
Complaint herein, nor has she shown why she failed to act upon said Complaint in a timely
manner[.]
As discussed above, the record indicates that Ms. Liller's first response in
this action was a letter written to the circuit court on September 13, 1998. The letter was
treated as a motion to set aside the default judgment which had been entered on August 28,
1998. A hearing on the motion was scheduled for December 15, 1998.
Ms. Liller appeared at the hearing on December 15, 1998, with counsel.
During the hearing, Ms. Liller, by counsel, introduced her medical records showing that
she became ill and was hospitalized a week after she was served with the complaint. Ms.
Liller stated that she was unable to find counsel and file an answer to the complaint before
she was hospitalized. After she was hospitalized and for a brief period of time thereafter,
she was not able to attend to her affairs. Consequently, the time period for responding to
the complaint expired. When Ms. Liller finally realized that she needed to take action,
she wrote the letter to the circuit court indicating that she did not agree with Mr. Diehl's
allegations.
After considering Ms. Liller's argument and the response from Mr. Diehl's
counsel requesting additional information, the circuit court stated:
No, I am not going to set the judgment aside today, but I'm
going to give you until, being the time of the year and the
month it is, until the end of the first week in January . . . .
January the Eighth to send to me and to Mr. Rogers [Mr.
Diehl's counsel] affidavits, an affidavit of the defendant stating
the specificity, the reasons that Mr. Rogers is asking for as to
why she failed to act in a timely manner, she, I want to know
why she failed to act and why she failed to act timely, and you
can attach anything you want and Mr. Rogers can have a week
to answer that after you get it, and after I've received both of
those and read them, I'll decide whether I'm going to set it
aside or not[.]
The parties next appeared before the circuit court on June 9, 1999, for a
status conference. At that time, Ms. Liller stated that she had filed the affidavits requested
by the court on January 28, 1999, three weeks after the date specified by the court in the
prior hearing. However, Mr. Diehl's counsel indicated that he had not received the
affidavits until April. Thereafter, the circuit court denied Ms. Liller's motion to set aside
the default judgment.
Given these circumstances, we do not find that the circuit court abused its
discretion by denying the motion to set aside the default judgment. Not only did Ms.
Liller fail to file a timely answer to the complaint in this case, she also failed to timely
respond to the circuit court's request for additional information regarding why she failed
to timely respond in the first instance. In Hinerman v. Levin, 172 W.Va. 777, 782, 310
S.E.2d 843, 848 (1983), this Court stated that although this court is quite willing to
review default judgments and to overturn them in cases where good cause is shown, a
demonstration of such good cause is a necessary predicate to our overruling a lower court's
exercise of discretion. Ms. Liller simply did not demonstrate good cause within the
parameters set by the circuit court. Accordingly, the final order of the Circuit Court of
Mineral County entered on June 28, 1999, is affirmed.
Affirmed.