A few observations about “Default Judgments” in California

In California, a default judgment is reviewable on appeal the same as any other civil judgment. The fact that defendant defaulted in the trial court does not bar its right to appeal the judgment entered. Likewise, a plaintiff dissatisfied with the default judgment or, more typically, the amount of damages awarded, may appeal.

However, as a general rule, a defendant may not contest the merits: A defendant may not argue the merits of the case on appeal from a default judgment. The default operates as an express admission of well-pleaded factual allegations in the complaint. Thus, the only issues defendant may argue on appeal relate to the court's jurisdiction, the sufficiency of the pleadings, whether the relief granted exceeds that sought in the complaint, and procedural issues relating to the entry of default, the default judgment and motions for relief from default.

But in order to appeal, the defaulting defendant will have to find out about the judgment in time to file a notice of appeal within the applicable time limits (i.e., within the earliest of 60 days after a party's or the clerk's service of a “notice of entry of judgment” or file stamped copy of the judgment, or 180 days after entry of judgment).

Also, if a default judgment is vacated for lack of personal jurisdiction, the plaintiff will have to obtain service on the defendant before the action can proceed. But if the default judgment is vacated on other grounds (e.g., because damages excessive), the defaulting defendant is still “out of court,” i.e., it still has no right to appear or interpose a defense. The trial court will proceed in its absence to conduct a new “prove-up” hearing and enter a new judgment. The defaulting defendant, however, may be able to move for a new trial on such issues as excessive damages.

If no appeal is timely filed, a defaulting defendant may be able to collaterally attack the judgment on jurisdictional grounds. No collateral attack will lie, however, for failure of the complaint to state a cause of action.

-Lawdog