HRB, LLC v. Mark Kornhauser, et al

FILED
U.S. COURT OF APPEALS
ELEVENTH CIRCUIT
SEPTEMBER 8, 2011
JOHN LEY
CLERK
[DO NOT PUBLISH]
IN THE UNITED STATES COURT OF APPEALS
FOR THE ELEVENTH CIRCUIT
________________________
No. 10-15581
Non-Argument Calendar
________________________
D. C. Docket No. 2:09-cv-00157-LGW-JEG
HRB, LLC,
Plaintiff - Appellee,
versus
JAMES ALEXANDER, et al.,
Defendants,
MARK KORNHAUSER,
FREDERICK L. DAKE,
Defendants - Appellants.
________________________
Appeal from the United States District Court
for the Southern District of Georgia
_________________________
(September 8, 2011)
Before EDMONDSON, PRYOR and BLACK, Circuit Judges.

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PER CURIAM:
Appellant Mark Kornhauser appeals the district court’s denial of his first
motion for reconsideration in connection with a breach of contract action filed by
HRB, LLC (HRB). Appellant Frederick L. Dake joins Kornhauser in appealing
the denial of a second motion for reconsideration. Appellants contend the district
court abused its discretion in denying the motions for reconsideration because it
(1) lacked personal jurisdiction to enter a default judgment in favor of HRB as
Appellants were not properly served with notice of HRB’s Complaint, and (2) the1
default judgment is void as a matter of law because HRB is attempting to collect a
“usurious amount” of interest in connection with the personal guaranty executed
by the parties. After reviewing the parties’ briefs and the record, we conclude the
district court did not abuse its discretion and affirm for the reasons set forth in the2
district court’s well-reasoned orders of April 16, 2010 and November 10, 2010.
AFFIRMED.
We note that Appellants rely on dicta in National Equip. Rental, Ltd. v. Szukhent, 3751
U.S. 311, 318 (1964) for the proposition that an agent’s failure to communicate actual notice of
suit to the defendant terminates the agency relationship and impinges upon a defendant’s due
process rights. The Court expressly stated it was not deciding Szukhent based on a scenario
where the defendant had no personal notice of a lawsuit. Id. at 315.
“We review a district court’s denial of a motion for reconsideration for abuse of2
discretion.” Corwin v. Walt Disney Co., 475 F.3d 1239, 1254 (11th Cir. 2007).
2

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