This Firm represented an individual and his contracting company in successfully vacating a Default Judgment against the individual, as well as the damages portion of the Judgment against his corporation, in Federal District Court for the Southern District of New York, in a Fair Labor Standards Act (“FSLA”) action. This was accomplished by proving to the Court’s satisfaction that the underlying Judgment against the individual was void, pursuant to Federal Rules of Civil Procedure Rule 60(b)(4) for improper service of process.
With respect to damages against the corporation, this amount was vacated under Federal Rules of Civil Procedure Rule 60(b)(1), which provides that “the Court may relieve a party . . . from a final judgment . . . [because of] mistake, inadvertence, surprise, or excusable neglect.” The Firm convinced the District Court Judge that the Court had inadvertently approved a damages award without a sufficient evidentiary showing, pursuant to the guidelines that the Court had set. As a result of this vacatur, the Firm was able to settle this matter for a fraction of the amount of the original default judgment, removing liens against property and restraining notices against bank accounts, ultimately saving our client a tremendous amount of personal assets.