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Homeowners Mortgage of Amer. Inc. v. Chase Home Fin. LLC

New Jersey procedure allows a defendant to safely obtain additional time to answer a complaint without waiving its personal jurisdiction defense.

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We granted this discretionary appeal to review the trial court’s denial of a motion to set aside a foreign judgment. For reasons that follow, we reverse. The central facts are not in dispute. Chase Home Finance, LLC, sued Homeowners Mortgage of America, Inc., in New Jersey for breach of contract. At Homeowners’ request, Chase agreed to give Homeowners an additional 30 days to answer the complaint, and the parties filed a “Stipulation Extending Time to Answer” with the New Jersey court. Despite this extension, Homeowners never answered the lawsuit.

The New Jersey court found Homeowners in default for failure to appear and entered judgment against it. Chase then sought to enforce the default judgment in Cobb County, Homeowners’ county of residence, pursuant to OCGA § 9-12-132. Homeowners objected and moved to set the foreign judgment aside, arguing that New Jersey lacked personal jurisdiction. The Cobb County trial court denied the motion, and this appeal followed.

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