Praxair Distribution, Inc. v. Irish Oxygen Company

U.S. District Court, District of Minnesota

Praxair Distribution, Inc. v. Irish Oxygen Company

Trial Court Opinion

             UNITED STATES DISTRICT COURT                            
                DISTRICT OF MINNESOTA                                


Praxair Distribution, Inc.,            Case No. 18-cv-1321 (WMW/BRT)      

               Plaintiff,                                            
                             ORDER GRANTING MOTION FOR               
v.                                DEFAULT JUDGMENT                   

Irish Oxygen Company,                                                     

               Defendant.                                            


This matter is before the Court on Plaintiff Praxair Distribution, Inc.’s (Praxair) 
second motion for default judgment.  (Dkt. 108.)  For the reasons addressed below, 
Praxair’s motion is granted.                                              
                     BACKGROUND                                      
Praxair is a corporation that sells industrial and medical gases.  Defendant Irish 
Oxygen Company (Irish) was a customer of Praxair’s since at least November 2014.  
Praxair initiated this lawsuit against Irish for nonpayment of invoices.  
In June 2019, Irish’s counsel moved to withdraw as its counsel.  United States 
Magistrate Judge Steven E. Rau granted the motion to withdraw and imposed a deadline 
of October 1, 2019, for Irish to obtain new counsel and notify the Court of such.  To date, 
Irish has not notified the Court that it obtained new counsel.  On October 3, 2019, Praxair 
applied for entry of default, which the Clerk of Court promptly granted.  Praxair now 
moves the Court for default judgment.1                                    

1    This is Praxair’s second motion for default judgment.                
                       ANALYSIS                                      
The entry of default judgment is a two-step process governed by Federal Rule of 
Civil Procedure 55.  First, the party seeking default judgment must obtain an entry of 

default.  Fed. R. Civ. P. 55(a).  Second, the party seeking default judgment “must apply 
to the court for a default judgment.”  Fed. R. Civ. P. 55(b)(2).          
Because “the law does not allow a corporation to proceed pro se,” proceeding pro 
se as a corporation is considered default.  Ackra Direct Mktg. Corp. v. Fingerhut Corp., 
86 F.3d 852, 857
 (8th Cir. 1996); accord Rowland v. Cal. Men’s Colony, Unit II Men’s 

Advisory Council, 
506 U.S. 194
, 201–02 (1993) (“It has been the law for the better part of 
two  centuries . . . that  a  corporation  may  appear  in  the  federal  courts  only  through 
licensed counsel.”).                                                      
Here,  Irish  has  not  had  counsel  since  the  magistrate  judge  granted  its  prior 
counsel’s motion to withdraw.  The magistrate judge directed Irish to hire new counsel 

and to notify the Court no later than October 1, 2019, of the new counsel.  But Irish did 
not do so.  Consequently, Irish is in default, and default judgment is appropriate here.  
See Ackra Direct Mktg. Corp., 
86 F.3d at 857
.                             
Praxair has requested that the Court enter judgment against Irish in the amount of 
$661,863.04, based on a Praxair employee’s sworn declaration and an itemized statement 

that Praxair submitted in support of its motion for default judgment.  The Court finds that 
there  is  ample  support  for  most  of  Praxair’s  requested  award.    However,  there  is  a 
$209.94 inconsistency between the total amount reflected in Praxair’s sworn employee 
declaration and the total amount reflected in Praxair’s itemized statement.  Because it is 
Praxair’s burden to demonstrate that it is entitled to default judgment in the requested 
amount, the Court resolves this $209.94 inconsistency against Praxair.  For these reasons, 
the Court awards Praxair $661,653.10 in damages, an amount subject to increase based 

on the Bill of Costs that Praxair submits as to interest, costs, and attorneys’ fees.2 

ORDER

Based on the foregoing analysis and all the files, records and proceedings herein, 
IT IS HEREBY ORDERED:                                                     
1.   Praxair’s second motion for default judgment, (Dkt. 108), is GRANTED. 

2.   Praxair  is  awarded  $661,653.10  in  damages  against  Defendant  Irish 
Oxygen Company, subject to increase based on a Bill of Costs to be submitted by Praxair 
within 30 days after the date of this Order detailing the amount of interest, attorneys’ 
fees, and costs sought.                                                   

Dated:  January 9, 2020                 s/Wilhelmina M. Wright            
                                   Wilhelmina M. Wright              
                                   United States District Judge      







2    At the December 10, 2019 hearing on Praxair’s motion, Praxair committed to pro-
vide the Court with a Bill of Costs detailing the amount of interest, attorneys’ fees, and 
costs sought as part of its requested award.                              

Trial Court Opinion

             UNITED STATES DISTRICT COURT                            
                DISTRICT OF MINNESOTA                                


Praxair Distribution, Inc.,            Case No. 18-cv-1321 (WMW/BRT)      

               Plaintiff,                                            
                             ORDER GRANTING MOTION FOR               
v.                                DEFAULT JUDGMENT                   

Irish Oxygen Company,                                                     

               Defendant.                                            


This matter is before the Court on Plaintiff Praxair Distribution, Inc.’s (Praxair) 
second motion for default judgment.  (Dkt. 108.)  For the reasons addressed below, 
Praxair’s motion is granted.                                              
                     BACKGROUND                                      
Praxair is a corporation that sells industrial and medical gases.  Defendant Irish 
Oxygen Company (Irish) was a customer of Praxair’s since at least November 2014.  
Praxair initiated this lawsuit against Irish for nonpayment of invoices.  
In June 2019, Irish’s counsel moved to withdraw as its counsel.  United States 
Magistrate Judge Steven E. Rau granted the motion to withdraw and imposed a deadline 
of October 1, 2019, for Irish to obtain new counsel and notify the Court of such.  To date, 
Irish has not notified the Court that it obtained new counsel.  On October 3, 2019, Praxair 
applied for entry of default, which the Clerk of Court promptly granted.  Praxair now 
moves the Court for default judgment.1                                    

1    This is Praxair’s second motion for default judgment.                
                       ANALYSIS                                      
The entry of default judgment is a two-step process governed by Federal Rule of 
Civil Procedure 55.  First, the party seeking default judgment must obtain an entry of 

default.  Fed. R. Civ. P. 55(a).  Second, the party seeking default judgment “must apply 
to the court for a default judgment.”  Fed. R. Civ. P. 55(b)(2).          
Because “the law does not allow a corporation to proceed pro se,” proceeding pro 
se as a corporation is considered default.  Ackra Direct Mktg. Corp. v. Fingerhut Corp., 
86 F.3d 852, 857
 (8th Cir. 1996); accord Rowland v. Cal. Men’s Colony, Unit II Men’s 

Advisory Council, 
506 U.S. 194
, 201–02 (1993) (“It has been the law for the better part of 
two  centuries . . . that  a  corporation  may  appear  in  the  federal  courts  only  through 
licensed counsel.”).                                                      
Here,  Irish  has  not  had  counsel  since  the  magistrate  judge  granted  its  prior 
counsel’s motion to withdraw.  The magistrate judge directed Irish to hire new counsel 

and to notify the Court no later than October 1, 2019, of the new counsel.  But Irish did 
not do so.  Consequently, Irish is in default, and default judgment is appropriate here.  
See Ackra Direct Mktg. Corp., 
86 F.3d at 857
.                             
Praxair has requested that the Court enter judgment against Irish in the amount of 
$661,863.04, based on a Praxair employee’s sworn declaration and an itemized statement 

that Praxair submitted in support of its motion for default judgment.  The Court finds that 
there  is  ample  support  for  most  of  Praxair’s  requested  award.    However,  there  is  a 
$209.94 inconsistency between the total amount reflected in Praxair’s sworn employee 
declaration and the total amount reflected in Praxair’s itemized statement.  Because it is 
Praxair’s burden to demonstrate that it is entitled to default judgment in the requested 
amount, the Court resolves this $209.94 inconsistency against Praxair.  For these reasons, 
the Court awards Praxair $661,653.10 in damages, an amount subject to increase based 

on the Bill of Costs that Praxair submits as to interest, costs, and attorneys’ fees.2 

ORDER

Based on the foregoing analysis and all the files, records and proceedings herein, 
IT IS HEREBY ORDERED:                                                     
1.   Praxair’s second motion for default judgment, (Dkt. 108), is GRANTED. 

2.   Praxair  is  awarded  $661,653.10  in  damages  against  Defendant  Irish 
Oxygen Company, subject to increase based on a Bill of Costs to be submitted by Praxair 
within 30 days after the date of this Order detailing the amount of interest, attorneys’ 
fees, and costs sought.                                                   

Dated:  January 9, 2020                 s/Wilhelmina M. Wright            
                                   Wilhelmina M. Wright              
                                   United States District Judge      







2    At the December 10, 2019 hearing on Praxair’s motion, Praxair committed to pro-
vide the Court with a Bill of Costs detailing the amount of interest, attorneys’ fees, and 
costs sought as part of its requested award.                              

Reference

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