The U.S. Supreme Court is set to review a case concerning the time limits for contesting default judgments related to a lack of personal jurisdiction. This case arises from a bankruptcy dispute involving Coney Island Auto Parts, which is seeking to overturn a 2015 default judgment due to what it claims was improper service of process. The Sixth Circuit's ruling, which mandates a 'reasonable time' for such motions, is unique among federal appellate courts, leading to this significant Supreme Court consideration.
The US Supreme Court will evaluate whether the absence of personal jurisdiction in a default judgment can be challenged indefinitely or is constrained by a reasonable time limit.
In its appeal, Coney Island Auto Parts contends that a 2015 default judgment lacks validity due to defective service of process, which raised concerns about the jurisdiction of the bankruptcy court.
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