The defendant insurer moved to set aside a noting in default and default judgment obtained by the plaintiff in a claim for accidental death insurance benefits.
The court applied the test for setting aside default judgments, requiring prompt action, a reasonable explanation for the default, and an arguable defence on the merits.
The court found the motion was brought promptly and that the insurer had a plausible explanation for failing to defend, given lengthy periods of inactivity and communications suggesting litigation would not proceed imminently.
The insurer also demonstrated an arguable defence, including the possibility that the insured’s death was suicide or otherwise excluded under the policy.
Additionally, the court held that the action had been deemed dismissed as abandoned under Rule 48.15(6), rendering the default judgment irregular.