On October 10, 2023, the First Department issued a decision in Shabtai v. HFZ Capital Group, LLC, 2023 NY Slip Op. 05109, holding that the failure to update the address for service of process is not a sufficient excuse for failing to answer a complaint, explaining:
To vacate a default judgment, a movant must establish both a reasonable excuse for its default and a meritorious defense to the plaintiff’s claims. The failure to maintain a current mailing address for service of process is not a reasonable excuse for defaulting. According to the affidavit submitted by the Shore Club Entities, the dissolution of the Shore Club Entities and the failure to update their agent’s address for service of process was not a high priority. Under these circumstances, the motion for a default judgment was providently granted.
Since the Shore Club Entities have no reasonable excuse for defaulting, defendants’ defenses need not be addressed.
(Internal citations omitted).