UNITED CAPITAL FUNDING CORP., A FLORIDA CORPORATION, APPELLANT,
v.
TECHNAMAX, INC., A FOREIGN CORPORATION, AND LISA BRYAN, AN INDIVIDUAL, D/B/A TECHNAMAX, INC., APPELLEES

Fla. 2d DCA | 2006-12-22
No. 2D06-2955
VILLANTI, J., Concurs., ALTENBERND, J., Concurs with opinion in which VILLANTI, J., Concurs.
946 So. 2d 63 Florida District Court of Appeal, Second District (2006) Positive Treatment
Cited by 4 cases

AI-generated. These summaries, headnotes, and key points are machine-generated and may contain errors or omissions. Always verify against the full opinion text below. Not legal advice.

Synopsis

United Capital Funding Corp. appeals the trial court's decision to vacate a default judgment against Lisa Bryan. The appellate court reverses, holding that Bryan's affidavit failed to establish excusable neglect as a matter of law because it did not explain the reason for her failure to respond to the complaint.


Holding

The trial court's decision to vacate the default judgment was a gross abuse of discretion. An affidavit supporting a motion to vacate a default judgment must address the issue of excusable neglect by offering facts that explain the party's failure to comply with procedural rules; a bare affidavit without such explanation is insufficient as a matter of law.


Headnotes

[1] A trial court's decision to set aside a default judgment is reviewed for gross abuse of discretion.

[2] To set aside a default judgment, the defaulting party must demonstrate excusable neglect, a meritorious defense, and due diligence in seeking relief.

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Key Quotes

“The defaulting party must show: "(1) that its failure to file a responsive pleading was a result of excusable neglect; (2) that it had a meritorious defense; and (3) that it acted with due diligence in seeking relief from the default."”

Establishes the three-part test required to set aside a default judgment

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Facts & Procedural History

United Capital Funding Corp. obtained a default judgment against Lisa Bryan, d/b/a Technamax, Inc. Bryan subsequently filed a motion to vacate the def…

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Opinion of the Court
CASANUEVA, Judge.

CASANUEVA, Judge.

United Capital Funding Corp. (“United Capital”) appeals the trial court’s decision to vacate the default judgment entered against Lisa Bryan, d/b/a Technamax, Inc. (“Bryan”). United Capital contends that the evidence presented by Bryan was legally insufficient to sustain a finding of excusable neglect, an element that must be met in order to set aside a default judgment. After review of the record and applicable case law, we agree.

A trial court’s decision to set aside a default judgment is reviewed for gross abuse of discretion. Benedict v. W.T. Hadlow Co., 52 Fla. 188, 42 So. 239, 241 (1906); Geer v. Jacobsen, 880 So. 2d 717, 720 (Fla. 2d DCA 2004). In this case, the trial court determined that Bryan had shown excusable neglect and a meritorious defense, and the court vacated the default judgment.

However, three elements must be proven for a default judgment to be set aside. The defaulting party must show: “(1) that its failure to file a responsive pleading was a result of excusable neglect; (2) that it had a meritorious defense; and (3) that it acted with due diligence in seeking relief from the default.” Allstate Floridian Ins. Co. v. Ronco Inventions, LLC, 890 So. 2d 300, 301 (Fla. 2d DCA 2004).

On appeal, both parties concede the issue of a meritorious defense, and neither party raises the issue of due diligence.

Thus, the sole issue before the court is whether the trial court’s determination that Bryan demonstrated excusable neglect was a gross abuse of discretion.

We conclude that it was.

The element of excusable neglect must be proven by a sworn statement or affidavit. DiSarrio v. Mills, 711 So. 2d 1355, 1356 (Fla. 2d DCA 1998); Schauer v. Coleman, 639 So. 2d 637, 638-39 (Fla. 2d DCA 1994).

The burden rests on the defaulting party to prove it has a legal excuse for fading to respond to the plaintiffs complaint. See Homblower v. Cobb, 932 So. 2d 402, 406 (Fla. 2d DCA 2006); Stone-Rich Props, v. Britt, 706 So. 2d 330, 332 (Fla. 2d DCA 1998).

In the instant case, Bryan did file a sworn affidavit with the court, but in the affidavit, Bryan failed to offer any reason for her failure to respond to the plaintiffs complaint. Since the affidavit did not address the issue of why Bryan failed to file a timely response, it was insufficient, as a matter of law, to satisfy the element of excusable neglect. See Rivera v. Dep’t of Revenue, 899 So. 2d 1265, 1267 (Fla. 2d DCA 2005) (noting excusable neglect cannot be established if a party offers no facts to support a finding of legal excuse for failure to comply with the rules of civil procedure).

Therefore, the trial court’s finding of excusable neglect was erroneous, and the decision to set aside the default judgment was a gross abuse of discretion.

Reversed and remanded for reinstatement of the default judgment.

VILLANTI, J., Concurs.

ALTENBERND, J., Concurs with opinion in which VILLANTI, J., Concurs.

Concurrence
ALTENBERND, Judge,

ALTENBERND, Judge,

Concurring.

I concur in this opinion and agree that the established standard of review for this issue is gross abuse of discretion. See, e.g., Mercury Marine Indus., Inc. v. Dillon, 779 So. 2d 356, 357 (Fla. 2d DCA 2000); Marshall Davis, Inc. v. Incapco, Inc., 558 So. 2d 206, 207 (Fla. 2d DCA 1990). I admit that in light of the standard for abuse of discretion announced in Cana-karis v. Canakaris, 382 So. 2d 1197 (Fla. 1980), I do not have any adequate description of “gross abuse of discretion” to apply as the standard of review in a case like this. See Laura Whitmore, Abuse of Discretion: Misunderstanding the Deference Accorded Trial Court Rulings, 79 Fla. Bar J. No. 6, at 83 (June 2005). I believe we should review this case as a matter of law de novo.

As our opinion explains, a defaulting party must make a tripartite showing to set aside a default. In this case, Lisa Bryan made no showing whatsoever of excusable neglect for her failure to file a responsive pleading. She appears to have confused or intermingled the first prong, excusable neglect, with the third prong, due diligence. Her entire focus was on a claim of excusable neglect for her somewhat delayed due diligence in seeking relief from the default. Without any showing that her failure to file a timely responsive pleading was excusable, I do not believe that she presented to the trial court the predicate necessary for the trial court to have the power to exercise discretion. See Townsend v. Townsend, 585 So. 2d 468, 469 (Fla. 2d DCA 1991) (reversing a modification of alimony because husband did not present proof of a substantial change, which “is a prerequisite to a trial court’s authority to exercise discretion to modify permanent alimony”); Cowie v. Cowie, 564 So. 2d 533, 535 (Fla. 2d DCA 1990) (stating that until a peti tioner presents evidence to surpass a minimum threshold, “the trial court does not have the authority to exercise its discretion”).

Thus, while I agree with the result in this case, if I had the option I would not hold that the trial court committed a gross abuse of discretion. Instead, I would hold that it erred as a matter of law in making a discretionary decision without a legal basis in the record to authorize the exercise of discretion.


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Citator

Cited By

  • Chernoff Diamond & Co. v. Gallin Assocs., Inc., 258 So. 3d 563 (Fla. 2d DCA 2018)
    …gainst Gallin Associates, Inc. We have jurisdiction, Fla. R. App. P. 9.030(b)(1)(B); Fla. R. App. P. 9.130(a)(5), and reverse. We review the trial court's order for gross abuse of discretion. See United Capital Funding Corp. v. Technamax, Inc., 946 So. 2d 63, 64 (Fla. 2d DCA 2006). To ---PAGE 2--- set aside the final default judgment, Gallin had to show: "(1) that the failure to file a responsive pleading was the result of excusable neglect; (2) that it has a meritorious defense; and (3) that it ac…
  • Nguyen v. Williams (Fla. 2d DCA 2026)
    …illness "can form the basis of a finding of excusable neglect"). A motion for relief from judgment alleging excusable neglect is legally insufficient if it is not supported by sworn evidence. See, e.g., United Cap. Funding Corp. v. Technamax, Inc., 946 So. 2d 63, 65 (Fla. 2d DCA 2006) ("The element of [*8] excusable neglect must be proven by a sworn statement or affidavit." (citing DiSarrio v. Mills, 711 So. 2d 1355, 1356 (Fla. 2d DCA 1998))); Geer v. Jacobsen, 880 So. 2d 717, 720 (Fla. 2d DCA 2004) ("Excus…

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