Weiyan Li brought motions for default judgment against Guru Constrarchit Ltd. and Guangcheng Zhu (its principal) in two related construction actions, after they failed to engage with the proceedings following removal orders.
The court granted default judgment, finding Guru and Mr. Zhu liable for breach of contract, conversion of project funds, and breach of trust due to significant deficiencies in construction work, misappropriation of funds, and Mr. Zhu's fraudulent conduct and domination of Guru.
Damages were awarded based on diminution in value rather than cost of cure, along with punitive damages and substantial indemnity costs.