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Evergreen Shipping Agency (America) Corp. v. Global Shipping Agencies

United States District Court, D. New Jersey

November 12, 2019

EVERGREEN SHIPPING AGENCY (AMERICA) CORPORATION f/k/a EVERGREEN AMERICA CORPORATION, Plaintiff,
v.
GLOBAL SHIPPING AGENCIES, et al., Defendants.

          ORDER

          MADELINE COX ARLEO UNITED STATES DISTRICT JUDGE

         THIS MATTER comes before the Court by way of Plaintiff Evergreen Shipping Agency (America) Corporation's (“Evergreen” or “Plaintiff”) unopposed application for an entry of default judgment[1] pursuant to Federal Rule of Civil Procedure 55(b), ECF No. 9, against Defendants Global Shipping Agencies, S.A. and Global Shipping Agencies, S.A.S., (together, “Global” or “Defendants”);

         and it appearing that this action arises out of an alleged breach of an agency agreement (the “Agency Agreement”) whereby Global was to act as Evergreen's agent in Colombia and to provide Evergreen certain services there, see Am. Compl. ¶ 7, ECF No. 5;

         and it appearing that Plaintiff alleges that Global failed to make certain remittances, permitted certain shipping containers to be seized by Colombian Customs agents by failing to manifest the correct number of containers in a shipment, and failed to renew a security guarantee, among other breaches of contract, id. ¶ 15;

         and it appearing that the Agency Agreement contains an arbitration provision that requires “[a]ny and all differences and disputes of Whatsoever nature arising between [Plaintiff] and [Defendant] in respect of this Agreement shall be referred to Arbitration in New Jersey, ” id. ¶ 8 & Agency Agreement ¶ 19, ECF No. 5.1;

         and it appearing that on December 28, 2018, Plaintiff made a demand for arbitration under the Agency Agreement, id. ¶ 10;

         and it appearing that despite receiving the notice, Defendants refuse to appoint an arbitrator under the Agency Agreement or otherwise submit to arbitration, id. ¶ 16;

         and it appearing that on February 7, 2019, Plaintiff filed a Complaint against Global, seeking to compel arbitration under the Federal Arbitration Act (“FAA”), 9 U.S.C. § 1 et seq. and seeking an order appointing an arbitrator on behalf of Global and an award of attorney's fees and costs, see Compl. ¶¶ 17-22, which Plaintiff amended on February 13, 2019, see Am. Compl. ¶¶ 17-22 (seeking same relief);

         and it appearing that Defendants have failed to answer the Complaint or otherwise respond as of the date of this Order;

         and it appearing that Plaintiff filed the present Motion for Default Judgment seeking an order compelling Defendants to arbitrate in New Jersey pursuant to the rules of the Society of Maritime Arbitrators and appointing an arbitrator on behalf of Defendants, Pl. Mem. at 1, ECF No. 9.1;

         and it appearing that default judgment may only be entered against a properly-served defendant, see E.A. Sween Co., Inc. v. Deli Express of Tenafly, LLC, 19 F.Supp.3d 560, 567 (D.N.J. 2014);

         and it appearing that Defendants are two foreign corporations, each with a principal place of business in Medellin, Colombia, Am. Compl. ¶ 2;

         and it appearing that under Federal Rule of Civil Procedure 4(f), a corporation served outside a judicial district of the United States must be served “in any manner prescribed by Rule 4(f) for serving an individual, except personal delivery under (f)(2)(C)(i), ” Fed.R.Civ.P. 4(h)(2);

         and it appearing that under Rule 4(f)(1), a corporation served outside a judicial district of the United States must be served pursuant to the Hague Convention for the Service Abroad of Judicial and Extrajudicial Documents (“Hague Convention”), 20 U.S.T. 361 (1988), if the convention is applicable, see Volkswagenwerk Aktiengesellschaft v. Schlunk, 486 U.S. 694, ...


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