Coney Island Auto Parts Unlimited, Inc. v. Burton

Justia · Docket · oyez.org

Argued on Nov 4, 2025.

Petitioner: Coney Island Auto Parts Unlimited, Inc.
Respondent: Jeanne Ann Burton.

Advocates:

Daniel Ginzburg (for the Petitioner)
Lisa S. Blatt (for the Respondent)

Facts of the case (from oyez.org)

In November 2014, Vista-Pro Automotive, LLC, a Nashville-based auto-parts corporation, entered bankruptcy proceedings in the U.S. Bankruptcy Court for the Middle District of Tennessee. In 2015, Vista-Pro—later represented by its Chapter 7 trustee—filed an adversary proceeding against Coney Island Auto Parts Unlimited, Inc., a New York corporation, to recover about $50,000 in unpaid invoices. Vista-Pro mailed the summons and complaint to Coney Island’s Brooklyn address addressed only to the corporate entity, not to any officer, agent, or individual as required for proper service under the rules governing service on corporations. Coney Island did not respond to the complaint, leading the bankruptcy court in May 2015 to enter a default judgment against it.

Following reconversion of the case to a Chapter 7 proceeding, the trustee repeatedly attempted to collect the judgment. Coney Island received notice of the judgment at least as early as April 2016 when its CEO was sent a demand letter. Years later, after the trustee sought to enforce the judgment by freezing Coney Island’s bank assets in New York, Coney Island sought to vacate the default judgment, arguing that it was void due to improper service and lack of personal jurisdiction.

The bankruptcy court and later the district court denied Coney Island’s motion to vacate the judgment as untimely. The U.S. Court of Appeals for the Sixth Circuit affirmed, holding that under its precedents interpreting Federal Rule of Civil Procedure 60(c)(1), motions to vacate void judgments must be filed within a reasonable time.

Question

Does Federal Rule of Civil Procedure 60(c)(1) impose any time limit to set aside a void default judgment for lack of personal jurisdiction?

[24-808] Coney Island Auto Parts Unlimited, Inc. v. Burton

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