UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF MICHIGAN 

SOUTHERN DIVISION 

UNITED STATES OF AMERICA, 

 

 Plaintiff, Civil Action No. 

 14-CV-12916 

vs. 

 Honorable Patrick J. Duggan 

MICHAEL L. LLOYD, 

 

 Defendant. 

____________________________/ 

OPINION AND ORDER GRANTING PLAINTIFF’S 

MOTION FOR SUMMARY JUDGMENT 

This action was brought by Plaintiff the United States of America to recover 

unpaid student loan proceeds from Defendant Michael L. Lloyd. Presently before 

the Court is Plaintiff’s motion for summary judgment, filed on January 16, 2015. 

Defendant has not filed a response to the motion, and the time to do so has expired. 

For the reasons that follow, the Court will grant the motion. 

On June 4, 1979, January 7, 1981, and April 14, 1981, Defendant signed 

promissory notes to secure student loans from the First Federal Savings & Loan 

Association of Detroit in the amounts of $2,000, $500, and $2,500, respectively. 

Def. Ex. 1. Each loan was distributed on the date on which Defendant signed the 

promissory notes, at 7.00% interest per annum. Def. Ex. 2. The loans were 

guaranteed by the Michigan Higher Education Assistance Authority and reinsured 

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by the U.S. Department of Education. Id. Defendant defaulted on his loan 

obligations on September 1, 1988 and, after the guarantor was unable to collect the 

amounts due from Defendant, it assigned the loan to the U.S. Department of 

Education on July 26, 1994. Id. Since assignment of the loan, the U.S. 

Department of Education has credited a total of $3,505.82 in payments from all 

sources. Id. After application of these credits, Defendant owes $5,180.11 in 

principal, together with interest in the amount of $5,188.56 as of August 2, 2013, 

for a total of $10,368.67. Id.

The pertinent legal framework for adjudicating Plaintiff’s claim in this case 

has been set forth by the Sixth Circuit as follows: 

To recover on a promissory note the government must first make a 

prima facie showing that (1) the defendant signed it, (2) the 

government is the present owner or holder and (3) the note is in 

default. For that purpose the government may introduce evidence of 

the note and a sworn transcript of the account or certificate of 

indebtedness. Once such a prima facie case is established, defendant 

has the burden of proving the nonexistence, extinguishment or 

variance in payment of the obligation. 

United States v. Petroff-Kline, 557 F.3d 285, 290 (6th Cir. 2009) (citations 

omitted). Here, Plaintiff has satisfied its prima facie burden through the 

submission of the promissory notes and a certificate of indebtedness. Although 

Defendant has appeared in this case and filed an answer to the complaint, he has 

failed to respond to Plaintiff’s summary judgment motion and has therefore failed 

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to meet his “burden of proving the nonexistence, extinguishment or variance in 

payment of the obligation.” Id. 

Accordingly, Plaintiff’s motion for summary judgment is GRANTED. 

Date: February 20, 2015 

 s/PATRICK J. DUGGAN 

 UNITED STATES DISTRICT JUDGE 

Copies to: 

Andrea A. Enright, Esq. 

Harold R. Smith, Esq. 

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