Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-5_05-cv-01594/USCOURTS-cand-5_05-cv-01594-0/pdf.json

Nature of Suit Code: 190
Nature of Suit: Other Contract Actions
Cause of Action: 28:1332 Diversity-Breach of Contract

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ORDER ENTERING DEFAULT; DENYING APPLICATION FOR DEFAULT JUDGMENT—C-05-01594 RMW

MAG

E-FILED on 9/30/05

IN THE UNITED STATES DISTRICT COURT

FOR THE NORTHERN DISTRICT OF CALIFORNIA

SAN JOSE DIVISION

HAIBO CHI, et al.,

Plaintiffs,

v.

DIRECT EQUITIES LLP; DIRECT EQUITIES,

INC.; CRAIG N. KIRT; THE

ADMINISTRATOR OF THE ESTATE OF

CRAIG N. KIRT; INGRID KIRT; STEVE M.

SCOTT; KELLY KINGSLAND; PAUL

KASPUTIS; ENTRUST ADMINISTRATION,

INC.; DAVID WINTER and DOES 1-50.

Defendants.

No. C-05-01594 RMW

ORDER ENTERING DEFAULT AGAINST

INGRID KIRT, DIRECT EQUITIES LLP,

DIRECT EQUITIES, INC., CRAIG N. KIRT,

and the ADMINISTRATOR OF THE ESTATE

OF CRAIG N. KIRT; DENYING

APPLICATION FOR DEFAULT JUDGMENT

[Re Docket Nos. 33, 47]

Plaintiffs have asked the court to enter default judgment against defendants Direct EquitiesLLP, Direct

Equities,Inc. (DBA Nationwide Properties), Ingrid Kirt, Craig N. Kirt, and the administrator of the estate of

Craig N. Kirt. Plaintiffs requested default be entered against these defendants and Kelly Kingsland and Entrust

Administration on June 9, 2005. On June 29, 2005, the clerk of court declined entry of default as to Direct

Equities LLP, Direct Equities, Inc. (DBA Nationwide Properties), Ingrid Kirt, Craig N. Kirt, and the

administrator of the estate of Craig N. Kirt but entered default as to Kelly Kingsland and Entrust

Administration. Plaintiffs subsequently served Ingrid Kirt, who is a generalpartner ofDirect EquitiesLLP, an

officer ofDirect Equities,Inc., and the administrator ofthe estate ofCraig N. Kirt(who is now deceased) with,

Case 5:05-cv-01594-RMW Document 49 Filed 09/30/05 Page 1 of 3
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ORDER ENTERING DEFAULT; DENYING APPLICATION FOR DEFAULT JUDGMENT—C-05-01594 RMW

MAG 2

inter alia, summons and first amended complaint on August 11, 2005. Answers were due on August 31,

2005. None of the defendants against whom plaintiffs seek default judgment have appeared in this action.

Defendants David Winter and Paul Kasputis have appeared in this action.

"Once a defendant failsto file a responsive answer, he isindefault, and anentryofdefault maybe made

by either the clerk or the judge." Jackson v. Beech, 636 F.2d 831, 835 (D.C. Cir. 1980). It appears that

DirectEquitiesLLP,Direct Equities,Inc., Ingrid Kirt,Craig N. Kirt, and the administrator ofthe estate ofCraig

N. Kirt are in default, having been served on August 11, 2005 but having failed to this date to answer or

otherwise appear in this action. 

Nevertheless, the court denies plaintiffs' application for default judgment against Direct Equities, Inc.

(DBA Nationwide Properties), Craig N. Kirt, and the administrator of the estate of Craig N. Kirt. Plaintiffs

seek default judgment against these defendants on the first through sixthand eleventhand twelfthclaimsforthe

full amount claimed ($950,000.00). Each of these claims is asserted not only against the defendants that are

subject of this motion, but against others that have not been served and at least one defendant (and for some

claims, two defendants) that has appeared, Paul Kasputis. 

Judgment may be entered against less than all of the parties "only upon an express determination that

there is no just reason for delay and upon an express direction for the entry of such judgment." Fed. R. Civ.

P. 54(b). The entry of default judgment against five of eight (or nine) defendants for the total amount is,

therefore,inappropriateabsent acknowledgment fromplaintiffsthat theydo not intend to pursue the defendants

who are not subject to this motion or an explanation as to why "there is no just reason for delay" in entering

judgment against less than all of the defendants. Further, the court needs some evidence showing the nature

and amount of the damages sought. 

DATED: 9/30/05 /s/ Ronald M. Whyte

RONALD M. WHYTE

United States District Judge

Case 5:05-cv-01594-RMW Document 49 Filed 09/30/05 Page 2 of 3
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ORDER ENTERING DEFAULT; DENYING APPLICATION FOR DEFAULT JUDGMENT—C-05-01594 RMW

MAG 3

Notice of this document has been sent to:

Counsel for Plaintiff(s):

Jingming (James) Cai jcai@flglawyer.com 

Defendant:

David Winter 

Post Office Box 12397 

Zephyr Cove, NV 89448 

PRO SE

Counsel for Defendant(s):

Margaret M. Schneck mms@r-winc.com 

Counsel are responsible for distributing copies of this document to co-counsel that have not registered for efiling under the court's CM/ECF program.

Dated: 9/30/05 /s/ RMW

Chambers of Judge Whyte

Case 5:05-cv-01594-RMW Document 49 Filed 09/30/05 Page 3 of 3