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Denial of Obligor's Motion to Set Aside Confessed Judgment Upheld

By FindLaw Staff on May 05, 2010 | Last updated on March 21, 2019

In Export-Import Bank of U.S. v. Advanced Polymer Sci., Inc., No. 09-3414, the Sixth Circuit faced a challenge to the district court's refusal to set aside the Export-Import Bank of the United States' confession of judgment against the obligor in the amount of $2,166,661.

In affirming the district court's judgment, the court held that a failure to assert the limitations period at the outset of litigation results in a waiver as a matter of course, and finding the defense waived at this later stage of the proceedings due to defendants' failure to timely assert the defense does not result in a substantial miscarriage of justice. 

The court also found that the guarantees are not fatally ambiguous because an arbitration provision does not facially conflict with the confession of judgment provision.    

 

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