FORT LAUDERDALE –– The owner of a yacht will not immediately face a $230,000 judgment over a crew member's lawsuit, a federal judge ruled.
In the Aug. 2 order, Judge James Cohn of the U.S District Court for the Southern District of Florida set aside a default judgment against Balerno International LTD. Cohn found the British Virgin Islands-based company had good reason to not respond to the crew member's original summons due to hurricane devastation in 2017.
The lawsuit centers on former employee, Louis Rafael Hurtado, who worked as a chef on the boat. Hurtado became ill during an excursion into the Carribbean. He was admitted into a hospital in Cuba, where he underwent hernia surgery.
After the boat's insurer refused to pay the medical bills, Hurtado filed a complaint against Balerno International. The company failed to respond to the lawsuit and the court awarded Hurtado more than $232,000.
Cohn's order set aside that judgment due to the company's assertion that its registered agent in the British Virgin Islands did not forward the summons.
In addition, Cohn wrote, the company could have put a "meritious defense" if they did appear in court. Hurtado was required to present a medical certificate before boarding the boat, but the chef claimed he left it at home. That certfiicate could have shown Hurtado had a hernia and could not be hired. The company alleges Hurtado purposely concealed his medical condition.
Cohn's order re-opens the case. Balerno International must reply to the plaintiff’s complaint by September 7, 2018.