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HomeMy WebLinkAbout2011-1213 (2) WILLIAM GEORGES, : IN THE COURT OF COMMON PLEAS OF PLAINTIFF : CUMBERLAND COUNTY, PENNSYLVANIA : V. : : CONTEMPORARY STREETWEAR, : LLC, : DEFENDANT : NO. 11-1213 CIVIL IN RE: OPINION PURSUANT TO PA. R.A.P. 1925 Ebert, Jr., J. November 9, 2011 – Defendant filed a motion to strike/open default judgment entered for Plaintiff, which was denied by opinion filed September 12, 2011. Defendant filed this appeal on October 11, 2011. On November 2, 2011, the Defendant filed a Concise Statement of matters Complained of on Appeal. The Concise Statement raises the following issues: 1. Did the trial court commit an error of law or abuse its discretion in denying Defendant’s Petition to Strike the Default Judgment because Defendant demonstrated that the Notice was facially defective in that it did not strictly comply with Pa.R.C.P. No. 237.5? 2. Did the trial court commit an error of law or abuse its discretion in denying Defendant’s Petition to Open the Default Judgment because Defendant promptly filed its Petition to open; the Defendant provided a reasonable excuse or explanation for failing to timely file its responsive pleadings; and Defendant’s Answer pleads 1 a meritorious defense to the allegations of the Complaint? DISCUSSION This Court previously filed a ten-page opinion on October 12, 2011, which deals with the legal issues presented in the case at length. This opinion is filed pursuant to Pa. R.A.P. 1925(a) to supplement the prior opinion and more specifically address the issue of what constitutes a facial defect in a Notice of Praecipe to Enter Judgment by Default in light of the recent Commonwealth 1 Defendant’s Concise Statement of Matters Complained of on Appeal. Court opinion filed October 4, 2011, in City of Philadelphia v. David J. Lane Advertising, Inc., No. 1449 (Pa. Commw., Oct. 4, 2011). Plaintiff’s counsel used the below quoted language in its “IMPORTANT NOTICE” to Defendant pursuant to Pa. R.C.P. 237.5 (“Rule 237.5”): YOU ARE IN DEFAULT BECAUSE YOU HAVE FAILED TO ENTER A WRITTEN APPEARNCE PERSONALLY OR BY ATTORNEY AND FILE IN WRITING WITH THE COURT YOUR DEFENSES OR OBJECTIONS TO THE CLAIMS SET FORTH AGAINST YOU. UNLESS YOU ACT WITHIN TEN (10) DAYS FROM THE DATE OF THIS NOTICE, A JUDGMENT MAY BE ENTERED AGAIST YOU WITHOUT A HEARING AND YOU MAY LOSE YOUR PROPERTY OR OTHER IMPORTANT RIGHTS. YOU SHOULD TAKE THIS NOTICE TO A LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE FOLLOWING OFFICE TO FIND OUT WHERE YOU CAN GET LEGAL 2 HELP. (Emphasis Added) The underlined portion was used in and quoted from the previous version of Rule 237.5. With respect to the warning of specific reason of deficiency and notice of default, the language is verbatim the same as the most current Rule 237.5. The only noticeably different language deals with the notice of right to and availability of free counsel, which 3 was modified somewhat in the newest version of the rule. In City of Phila. v. David J. Lane Adver., Inc., the Commonwealth Court held that a Plaintiff must give notice to “the defendant that it is in default, notify the defendant that the plaintiff intends to seek a default judgment if action is not taken within ten (10) days, and include some indicia of notice to legal counsel for the defendant, if represented…[and] the plaintiff must now include in the 10-Day Notice specific reasons why the defendant is in default.” Id. (emphasis in original). The court went on to emphasize in that case the Plaintiff’s notice was fatally deficient because 2 Plaintiff’s Praecipe, filed June 2, 2011. Below the quoted paragraph was the Cumberland County Bar Association’s address and telephone number. 3 Pa. R.C.P. 237.5 2 it failed to state specific reasons why the defendant was in default. Here, Plaintiff has not committed such an error. Plaintiff has only omitted the clause detailing the availability for free legal counsel for Defendant. Plaintiff’s language does inform Defendant that it should contact counsel immediately and, if it cannot afford counsel, to contact the Cumberland County Bar Association. However, this difference between the old Rule 237.5 language and the new Rule 237.5’s language is not such a significant difference as to justify finding that the Plaintiff did not substantially comply with the rule. This is further bolstered by the fact Defendant had employed private counsel for its defense. Free counsel for a corporate entity was never an issue. In short, the notice was not “facially defective.” By the Court, M. L. Ebert, Jr., J. Samuel L. Andes, Esquire Attorney for Plaintiff John F. Yaninek, Esquire Attorney for Defendant 3