Definition of Default
Default is a procedural concept that occurs when a defending party fails to file their answer within the period required by the rules. It is considered a punishment for unnecessary delay. The failure of the defendant to answer the complaint motu proprio may render judgment as prayed for. Failure to appear at the pre-trial conference is also considered a form of default or non-appearance leading to dismissal.
Requisites for Declaration of Default
For a defending party to be validly declared in default, the following requisites must be met:
- The defending party must have failed to file an answer within the reglementary period.
- There must be a written motion to declare such party in default.
- The defending party must have been notified of such motion.
- There must be proof of his failure to file answer to the complaint within the period.
Effects of Declaration of Default
Upon declaration of default, the defendant loses standing in court and is not allowed to take part in the trial. The court may proceed to render judgment ex parte, meaning based solely on the plaintiff's evidence.
The extent of relief granted in a default judgment is limited to what is prayed for in the complaint, supported by the evidence presented. The relief cannot exceed the amount or be different in kind from that sought, although unliquidated damages may be awarded based on evidence.
While a defaulting defendant forfeits the right to present a defense or object to the plaintiff's evidence, the order of default does not deprive them of their right to due process entirely; they are still entitled to notices of subsequent proceedings.
Failure of the defendant to appear at the pre-trial conference, distinct from failure to answer, may also lead to dismissal of the action.
Remedies from Order of Default
A defendant declared in default may seek to lift the order through several remedies:
- Motion to Set Aside Order of Default: Filed on grounds of fraud, accident, mistake, or excusable negligence. This motion must be supported by an affidavit showing the ground invoked and a meritorious defense.
- Motion for New Trial: May be filed after judgment but before it becomes final and executory.
- Appeal: May be taken from the judgment or order of default itself.
- Petition for Relief from Judgment: May be filed if the judgment has become final and executory.
- Petition for Annulment of Judgment: May be filed on the ground of lack of jurisdiction or extrinsic fraud if the judgment is final and executory.
When a motion to lift an order of default is granted, the order is lifted, and the defendant is restored to their standing. The court should set aside the order if the failure was due to excusable negligence and the defendant has a meritorious defense.
Exceptions and Judicial Trend
Default is not allowed in actions for annulment of marriage, declaration of nullity of marriage, or legal separation if the defendant fails to answer. In such cases, the court must order the Solicitor General or his deputized public prosecutor to investigate whether there is collusion.
The judicial trend is to avoid defaults. Orders of default are generally frowned upon and should be resorted to only in clear cases of obstinate refusal or ordinate neglect to comply with court orders. Courts are enjoined to be liberal in setting aside orders of default.