Regions Bank, dba Ascentium Capital as successor by merger to Ascentium Capital, LLC v. Red Man Trucking, Inc., et al.

Summary

This Report and Recommendation addresses Regions Bank’s amended motion for default judgment against Red Man Trucking, Inc. and Rodney Hill arising from an alleged breach of an equipment finance agreement and guaranty. The court finds that defendants are liable and recommends an award of actual damages, attorney fees, costs, and prejudgment interest. The visible text extends through page 14 of the document.

Holdings

1. Default judgment is warranted where defendants were properly served, failed to respond, and the plaintiff establishes liability through well-pleaded allegations and supporting evidence.
2. The court had diversity jurisdiction because Plaintiff and Defendants were completely diverse and the amount in controversy exceeded $75,000.
3. Red Man Trucking breached the Equipment Finance Agreement by failing to make the required payments, including the accelerated balance due after default.
4. Rodney Hill breached the guaranty because he unconditionally guaranteed Red Man Trucking's payment and performance obligations and failed to pay after Red Man Trucking's default.
5. The evidentiary record supported an award of $146,838.47 in actual damages, $10,895.63 in attorneys' fees, $964.80 in costs, and prejudgment interest accruing from November 1, 2023, at $69.59 per day through entry of judgment.

Questions Presented

1. Whether the court had subject-matter jurisdiction based on diversity of citizenship and an amount in controversy exceeding $75,000.
2. Whether Plaintiff established liability for breach of the Equipment Finance Agreement after Defendants defaulted and failed to make required payments.
3. Whether Plaintiff established liability for breach of the guaranty after Red Man Trucking defaulted.
4. Whether the evidence supported the requested actual damages, contractual late charges, collection expenses, future discounted payments, prejudgment interest, attorneys' fees, and costs.
5. Whether default judgment was appropriate after Defendants were properly served and failed to respond.

Disposition

other