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FLK1 · Multiple-choice practice

FLK1 Dispute Resolution — Question 42

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Question

John is a small business owner who has recently received a claim form from Sarah, a former customer, alleging breach of contract and seeking compensation for losses. John, unfamiliar with the civil procedure process, did not respond to the claim form in time. As a result, Sarah obtained a default judgment against him. John now wishes to contest the default judgment, arguing that he never received proper notice of the claim due to an address error. Which of the following steps must John take to successfully apply to set aside the default judgment under the Civil Procedure Rules (CPR)?

  1. John must prove that he had a valid defence to the claim.
  2. John must show that the claim form was served improperly and that he acted promptly upon discovering the default judgment.
  3. John must demonstrate that Sarah’s claim is frivolous and without merit.
  4. John must provide evidence that he was out of the country when the claim form was served.
  5. John must agree to settle the claim out of court to have the judgment set aside.

Answer and explanation

Correct answer: B. John must show that the claim form was served improperly and that he acted promptly upon discovering the default judgment.

John must show that the claim form was served improperly and that he acted promptly upon discovering the default judgment. Feedback: Under the Civil Procedure Rules (CPR), a default judgment can be set aside if the defendant can show that they did not receive proper notice of the claim due to an issue with service, and that they acted promptly upon discovering the default judgment. Specifically, CPR 13.2 states that the court must set aside a judgment entered under Part 12 if it is satisfied that the defendant was not properly served with the claim form. Additionally, under CPR 13.3, the court has discretion to set aside or vary a default judgment if the defendant has a real prospect of successfully defending the claim, or if it appears that there is some other good reason why the judgment should be set aside or varied, or why the defendant should be allowed to defend the claim. In this scenario, John must demonstrate that the claim form was served improperly (e.g., due to an address error) and that he acted promptly once he became aware of the default judgment. Simply having a valid defence (option 1) or proving that he was out of the country (option 4) are not sufficient on their own without addressing the service issue. Claiming that the case is frivolous (option 3) or agreeing to settle (option 5) are not relevant to the criteria for setting aside a default judgment under the CPR.

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