Section V. Default Judgment
200. (Default judgment against plaintiff)
1. Where the plaintiff fails to appear on the date set as the first day of preparatory
proceedings for oral argument, the court shall dismiss [with prejudice] the claims of the
plaintiff via default judgment.
2. Where the plaintiff fails to appear on a date set for the continuation of preparatory
proceedings for oral argument, the court may immediately terminate such
proceedings and set another date as the first day of oral argument.
3. Where the plaintiff fails to appear on the date set for oral argument, the court shall
dismiss [with prejudice] the claims of the plaintiff via default judgment.
201. (Default judgment against defendant)
1. Where the defendant fails to appear on the first date set for the preparatory
proceedings for oral argument, the court shall immediate terminate such
proceedings and set another date as the first day of oral argument.
2. Where the defendant fails to appear on the date set for oral argument, the court
shall deem the defendant to have admitted the truth of the plaintiff's allegations of
fact, and if grounds to support the plaintiff's claims exist, the court shall recognize
the plaintiff's claims via the entry of default judgment; while if grounds to support
the plaintiff's claims do not exist, the court shall dismiss [with prejudice] the
plaintiff's claims. However, this shall not apply where the defendant contests the
allegations of the plaintiff on the preceding date set for the preparatory
proceedings for oral argument or oral argument.
202. (Where default judgment is not allowed)
The court may not enter a default judgment in any of the following circumstances:
(a) where a party that failed to appear did not duly receive service of
summons;
(b) where there is sufficient evidence to conclude that a party that failed to
appear did so due to natural disaster or other forces beyond their control;
(c) where the action itself is unlawful; or
(d) where the contents of plaintiff’s statement on the date for oral argument
were not noticed before the date to the defendant that failed to appear.
203. (Extension of date)
1. Where the court determines that the summons period is too short, or that a party
was unable to appear through no fault of their own, it may extend the date set for
preparatory proceedings for oral argument or for oral argument.
2. Where the court extends a date in accordance with Paragraph 1, the party who did
not appear shall be served with summons to appear on the new date.
204. (Petition to set aside default judgment)
1. Where a party fails to make a timely appearance on the court date due to an
unforeseeable or unavoidable reason, and a default judgment was rendered as a
result, the party may file a petition to set aside the judgment.
2. The petition described in Paragraph 1 shall be made within two weeks from the
date of receipt of service of the default judgment. This period may not be
extended.
3. Where service of a default judgment is to be made by publication or in a foreign
country, the court shall fix in the default judgment the period within which a
motion for setting it aside may be filed.
205. (Method of filing petition to set aside default judgment)
1. A petition to set aside a default judgment shall be made by submitting a written
motion to the court that issued the default judgment.
2. The written petition shall contain the following matters:
(a) the names and addresses of the parties and of their legal representatives;
(b) an indication of the default judgment comprising the subject-matter of the
motion;
(c) an indication of the nature of the motion against the default judgment
described in subparagraph (b); and
(d) the reason that the party was unable to timely appear on the specified date.
206. (Examination and service of written motion)
1. Where a written motion fails to comply with the provisions of Article 205 (Method
of filing petition to set aside default judgment), the court shall order that any and
all defects in the motion be remedied within a reasonable period of time specified
by the court.
2. In the case described in Paragraph 1, if the party making the petition fails to
remedy the defects, the court shall dismiss [without prejudice] the written motion
via ruling.
3. A Chomtoah appeal may be made against the ruling described in Paragraph 2.
4. Where there is no defect in a written petition, the court shall serve the written
petition on the other party, set a new date for hearing on the motion, and summon
the parties to appear on such date.
207. (Hearing and decision on petition)
1. The court shall, on its own authority, investigate whether the petition was made in
the manner provided by law and within the period of time provided by law, as well
as whether reasonable grounds for the petition exist.
2. Where the court determines that the petition was made unlawfully, it shall dismiss
[without prejudice] the petition via ruling, and where the court determines that the
petition lacks reasonable grounds, it shall deny the petition via ruling.
208. (Effect of petition)
1. Where a petition is granted, the status of the action shall be returned to the status
in effect at the point in time before the party's failure to appear.
2. In the case described in Paragraph 1, the court shall set a new date for the
re-commencement of preparatory proceedings for oral argument or oral argument
and notify the parties of such date.
209. (Judgment based on de novo review)
1. Where the judgment to be issued based on a de novo review of the case is identical
to the default judgment, the court shall issue a judgment upholding the default
judgment.
2. Where the judgment to be issued based on a de novo review of the case is not
identical to the default judgment, the court shall reverse the default judgment in
the newly issued judgment.
210. (Costs incurred from failure to appear)
Where a default judgment is lawfully issued, costs incurred as a result of the party's
failure to appear shall be borne by the party failing to appear, even where the default
judgment is subsequently reversed upon petition to set aside the judgment, unless such
costs were incurred due to the other party's improper conduct in the handling of the
litigation.
211. (Issuance of second default judgment)
1. Where a party who files a petition to set aside a default judgment fails to appear at
the date [for the re-commencement of preparatory proceedings for oral argument
or oral argument], the court shall dismiss [with prejudice] the petition by means of
a second default judgment, except in the cases described in Article 202 (Where
default judgment is not allowed) and in Paragraph 2 of Article 203 (Extension of
date).
2. The second default judgment described in Paragraph 1 may not be challenged by a
petition to set aside.
212. (Mutatis mutandis application of provisions)
1. The provisions governing the discontinuance of an action shall apply mutatis
mutandis to the discontinuance of a petition.
2. The provisions of this Section shall apply mutatis mutandis to cross-actions.
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