Document ID: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-alnd-5_24-cv-01060/USCOURTS-alnd-5_24-cv-01060-0/pdf.json

Parties Involved:
Larry Clements
In Re
Steven Christopher Morris
Claimant

Document Text:

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UNITED STATES DISTRICT COURT

FOR THE NORTHERN DISTRICT OF ALABAMA

NORTHEASTERN DIVISION

IN THE MATTER *

OF THE PETITION *

*

OF * Case No.: 5:24-cv-01060-LCB

*

LARRY CLEMENTS *

Owner of the 2013 Cypress Cay Model * IN ADMIRALTY

230, 25’ pontoon boat, *

Hull Identification No. *

US-HAMC8020G213, *

For exoneration from or limitation of *

liability. *

MEMORANDUM OPINION

This matter is before the Court on Petitioner’s Rule 55 Motion for Entry of 

Final Default Judgment of Exoneration against all non-filing parties. (Doc. 15). 

I. Background 

On August 2, 2024, Petitioner, Larry Clements (“Petitioner”), as owner of that 

certain 2013 Cypress Cay Model 230, 25’ pontoon boat (the “Vessel”), filed his

Petition for Exoneration from of Limitation of Liability Complaint (Doc. 1), an Ad 

Interim Stipulation of Value (Doc. 1-1), and a Letter of Undertaking (Doc. 1-1), 

pursuant to 46 U.S.C. §§ 30501-30512 and in compliance with Federal Rule of Civil 

Procedure 9(h) and Rule F, Supplemental Rules for Admiralty or Maritime Claims 

and Asset Forfeiture Actions. Petitioner claims the right to exoneration from or 

limitation of liability for all claims that arose out of the Vessel’s voyage on August 

FILED

 2024 Dec-31 PM 04:17

U.S. DISTRICT COURT

N.D. OF ALABAMA

Case 5:24-cv-01060-LCB Document 16 Filed 12/31/24 Page 1 of 7
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6, 2022. The circumstances of which are more fully detailed in the Petition. (Doc. 

1). 

On August 21, 2024, the Court entered an Order granting interim relief, in 

which the Court approved Petitioner’s Letter of Undertaking, directed notice to be 

published in The News Courier pursuant to Supplemental Rule F, directed copies of 

the notice to be mailed to known claimants, and stayed all actions or proceedings 

that arose out of the subject voyage until the limitation action is determined. (Doc. 

3). By the terms of the Order and notice, claimants had until October 21, 2024, to 

file their claims with the Clerk of Court and serve on counsel for Petitioner a copy 

thereof, otherwise their claim would be defaulted. (Docs. 3, 4).

On September 18, 2024, Petitioner filed its Notice of Publication, wherein he

disclosed that he published the notice in The News Courier during a four-week 

period, on August 24, 2024, August 31, 2024, September 7, 2024, and September 

14, 2024. (Doc. 6). In addition to the published legal notice and in compliance with 

Supplemental Admiralty Rule F(4), Petitioner informed the known potential 

claimants of the pending limitation proceeding by mailing a copy of the notice and 

this Court’s order by certified mail. 

The deadline for receipt of Claims and Answers has expired. Steven 

Christopher Morris (“Morris”) is the only claimant who filed an Answer and Claim. 

(Doc. 9). No other Answer or Claim was filed prior to the expiration of the deadline. 

Case 5:24-cv-01060-LCB Document 16 Filed 12/31/24 Page 2 of 7
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Petitioner moved for Entry of Default against all non-appearing claimants on

December 17, 2024. (Doc. 11). On December 20, 2024, in accordance with Federal 

Rule of Civil Procedure 55, the Court granted Petitioner’s Motion for Entry of 

Default (Doc. 12) and the Clerk entered default against all non-appearing claimants. 

(Doc. 13). 

Petitioner moves for entry of final default judgment as to all non-appearing 

claimants.

II. Discussion

As summarized in the Matter of Freedom Marine Sales LLC, No. 8:19-cv00939-T-30SPF, 2019 WL 3848875, *1–2 (M.D. Fla. Jul 31, 2019) (entering 

default judgment against parties who failed to respond, answer or appear):

In an action to exonerate or limit liability from claims arising out of 

maritime accidents, the Supplemental Rules for Certain Admiralty and 

Maritime Claims of the Federal Rules of Civil Procedure set forth strict 

deadlines for providing notice to potential claimants and filing claims. 

Pursuant to Supplemental Rule F(4):

[T]he court shall issue a notice to all persons asserting 

claims with respect to which the complaint seeks 

limitation, admonishing them to file their respective 

claims with the clerk of the court and to serve on the 

attorneys for the plaintiff a copy thereof on or before a date 

to be named in the notice. The date so fixed shall not be 

less than 30 days after issuance of the notice. For cause 

shown, the court may enlarge the time within which claims 

may be filed. The notice shall be published in such 

newspaper or newspapers as the court may direct once a 

week for four successive weeks prior to the date fixed for 

the filing of claims. The plaintiff not later than the day of 

Case 5:24-cv-01060-LCB Document 16 Filed 12/31/24 Page 3 of 7
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second publication shall also mail a copy of the notice to 

every person known to have made any claim against the 

vessel or the plaintiff arising out of the voyage or trip on 

which the claims sought to be limited arose.

FED. R. CIV. P. SUPP. F(4). Once such notice has been given, all claims 

“shall be filed and served on or before the date specified in the notice 

provided ...” Fed. R. Civ. P. Supp. F(5). “If a claimant desires to contest 

either the right to exoneration from or the right to limitation of liability, 

the claimant shall file and serve an answer to the complaint unless the 

claim has included an answer.” Id.

In cases arising under these rules, a default judgment will be entered 

against any potential claimant who has failed to respond to public notice 

of a complaint for exoneration from and/or limitation of liability within 

the established notice period so long as the petitioner has fulfilled “[its] 

obligation to publish notice of the limitation proceeding ... the [n]otice 

expressly and clearly stated the deadline for filing a claim and/or 

answer ... and [the notice stated] that a consequence of failing to file a 

timely claim and/or answer was default and being forever barred from 

filing a claim and/or answer.” In re Petition of Holliday, No. 6:14-cv1709-Orl-28DAB, 2015 WL 3404469, at *3 (M.D. Fla. May 26, 2015) 

(citation omitted); see also In the Matter of Reef Innovations, Inc., No. 

11-cv-1703, 2012 WL 195531, at *2 (M.D. Fla. Jan. 6, 2012) (noting 

that a party seeking a default judgment on a complaint for exoneration 

from or limitation of liability must first publish a notice of the action in 

a newspaper for four consecutive weeks).

Petitioners fulfilled their obligation to publish a notice of the limitation 

proceeding once per week for four consecutive weeks.... as required by 

Supplemental Rule F(4)..... Further, Petitioners have fulfilled their 

obligations by mailing, via certified mail, a copy of their Complaint and 

the Court's Order Approving Ad Interim Stipulation, Notice of 

Monition, and Injunction, to all known potential claimants to this 

Limitation proceeding required by Supplemental Rule F and Local 

Admiralty Rules.

The Court's Order and Notice of Monition expressly and clearly 

stated.... the deadline for filing a claim..... and that a consequence of 

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failing to file a timely claim was default.... The deadline mandated by 

the Court for filing claims has expired.....

Under these circumstances, Petitioners have demonstrated that an 

entry of default judgment is warranted.

Matter of Freedom Marine Sales LLC, No. 8:19-cv-00939-T-30SPF, 

2019 WL 3848875, *1–2 (M.D. Fla. Jul 31, 2019) (entering default 

judgment against parties who failed to respond, answer or appear). Thus, 

entry of a final default judgment for exoneration is proper as to potential 

claimants who have not responded to a newspaper publication of a court's 

notice to assert claims by a certain date, so long as the moving petitioners 

have satisfied the publishing/notice obligations. Id. See, e.g., Matter of 

Heningburg, No. 1:19-00341-KD-N, 2019 WL 5431319, (S.D. Ala. Oct. 22, 

2019); In re: In the Matter of the Complaint of Shawna Raye, LLC, No. 

2:15-cv-770-FtM-99CM, 2016 WL 3579018, *1 (M.D. Fla. May 9, 2016), 

report and recommendation adopted 2016 WL 3525001 (M.D. Fla. Jun. 28, 

2016); In re: Ruth, No. 8:15-cv-2895-T-23TBM, 2016 WL 4708021 (M.D. 

Fla. Aug., 23, 2016) report and recommendation adopted 2016 WL 4667385 

(M.D. Fla. Sept. 7, 2016); In re Petition of Holliday, 2015 WL 3404469; In 

the Matter of Reef Innovations, Inc., No. 6:11-cv-1703-Orl-31GJK, 2012 

WL 195531, *2 (M.D. Fla. Jan. 6, 2012); In the Matter of X–Treme 

Case 5:24-cv-01060-LCB Document 16 Filed 12/31/24 Page 5 of 7
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Parasail, Inc., No. 10-00711 SOM/BMK, 2011 WL 4572448, *1 (D. Haw. 

Sept. 12, 2011).

Petitioner has complied with the publication notice requirements per 

Supplemental Rule F(4). (Doc. 6). The Court's Order (Doc. 3) and Publication 

Notice (Doc. 4) identify the consequences for failure to file claims within the time 

ordered, including potential default. Such notice by publication satisfies due process 

as to any potential claimants. The time for filing any claims against the Petitioners 

has expired. Entry of default judgment is proper when a party “has failed to plead 

or otherwise defend, and that failure is shown by affidavit or otherwise.” FED. R.

CIV. P. 55(A). As shown by the record, any parties wishing to make a claim with 

respect to the subject of this case had to file a claim by October 21, 2024. The 

deadline to file a claim has passed. Thus, those parties that have already been found 

to be in default are now properly subject to entry of a default judgment.

III. Conclusion

The Petitioner's motion for entry of final default judgment against all nonfiling/appearing parties (Doc. 14) is GRANTED. Accordingly, DEFAULT 

JUDGMENT shall be entered in favor of Petitioner and against all non-appearing 

claimants (parties that have not answered or filed claims) with regard to this case.

This order does not apply to claimant Morris. 

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The Court will enter a judgment by separate order in accordance with Federal 

Rule of Civil Procedure 58.

DONE and ORDERED this December 31, 2024.

 _________________________________

 LILES C. BURKE

 UNITED STATES DISTRICT JUDGE

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