Strutton v. SDG Macerich Properties LP

Summary

The Supreme Court of South Dakota affirmed the denial of U.S. Metro Group's motion to set aside a default judgment entered in a personal-injury action. The court held that U.S. Metro failed to establish excusable neglect or mistake because it did not follow up after receiving notice of the lawsuit and a warning that default judgment would be sought. The court also reiterated that relief from default requires good cause and a meritorious defense, and that the decision rests within the trial court's discretion.

Holdings

1. U.S. Metro failed to establish excusable neglect or mistake because its failure to answer resulted from a lack of diligence by U.S. Metro, its insurance agent, and its insurer, and a reasonably prudent person would not have acted similarly under the circumstances.
2. The circuit court did not abuse its discretion in denying U.S. Metro's motion to set aside the default judgment.

Questions Presented

1. Whether the circuit court abused its discretion by denying U.S. Metro's motion to set aside the default judgment based on excusable neglect or mistake.
2. Whether U.S. Metro established the requirements for relief from default judgment, including excusable neglect or mistake and a meritorious defense.

Disposition

affirmed