Judge Tosses $1.3 Million Default Award Over Notice Defect
U.S. District Judge Robert N. Scola vacates a $1.3 million default judgment against a hotel owner, finding that the defendant didn't receive notice of the suit until it was resolved.
August 21, 2015 at 10:00 AM
2 minute read
A South Florida federal judge vacated a $1.3 million default judgment against a hotel owner, finding that the defendant didn't receive notice of the suit until it was resolved.
Instead, the plaintiffs sent a summons for Iowa resident Thomas Lustgraaf to the Costa Rica hotel he owned, which was undergoing renovations and had no electricity, running water or residents other than overnight security guards, the court found Tuesday.
Michael Peter and David Sebag sued Lustgraaf for breach of contract in March 2012, along with Alamo Holdings S.A., Hotelera Amon S.A. and Randall Martinez, who sold Lustgraaf the hotel.
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