Defendants Required to Pay Cost of Plaintiff’s Motion for Default as Condition for Denying the Motion

On December 31, 2024, Justice Masley of the New York County Commercial Division issued a decision in Universal Inv. Advisory SA v. Bakrie Telecom Pte, Ltd, 2024 NY Slip Op. 34541(U), requiring defendants to pay the cost of the plaintiff’s motion for default judgment as a condition of not entering a default judgment, explaining:

CPLR 5015(a) allows the court to impose conditions to relieve a party of a default. Based on the court’s experience, it finds that $30,000 is a reasonable fee for compiling a basic motion for a default judgment. Plaintiffs’ motion consists of the traditional elements i.e. memos of law in support a reply and affidavits, and usual arguments for a default motion. Here, plaintiffs’ expenses associated with the motion are reasonable. These fees would not have been incurred if defendants had timely engaged counsel or at least informed the court and plaintiff that it was seeking counsel.

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