Default judgment entered after a late defence had been filed must be set aside (CPR 12.3(2), 13.2)
Okoro Plant Hire Ltd sued Thistle Groundworks Ltd for £64,000. Thistle filed an acknowledgment of service, so its defence was due by 16 April 2026. Thistle filed its defence at court on 20 April 2026, four days late. On 22 April 2026, Okoro's solicitors, unaware of the defence, filed a request for default judgment, and the court entered judgment in default of defence on 24 April 2026. Thistle applies to set the judgment aside. Okoro argues that the defence was late and has no real prospect of success.
How should the court deal with Thistle's application?
Choose one answer to see the reasoning.
Worked answer
Correct answer E: It must set the judgment aside, because a defence had been filed before judgment was entered.
THE RULE TO REMEMBER
Default judgment for want of a defence is wrongly entered if a defence, even a late one, had been filed by the date judgment was entered, and must then be set aside (CPR 12.3(2), 13.2).
Default judgment entered after a late defence had been filed must be set aside (CPR 12.3(2), 13.2)
Under CPR 12.3(2)(a), judgment in default of defence may be obtained only where an acknowledgment of service has been filed but, at the date on which judgment is entered, a defence has not been filed, and the relevant time limit has expired. The test looks at the position on the date judgment is entered, not on the date the time limit expired. Thistle's defence, although late, was filed on 20 April 2026, before judgment was entered on 24 April. One of the conditions in CPR 12.3(2) was therefore not satisfied. CPR 13.2 provides that the court must set aside a judgment entered under Part 12 if it was wrongly entered because any of the conditions in CPR 12.3(2) and (3) was not satisfied. This is a mandatory set-aside, so the merits of the defence and the discretionary factors in CPR 13.3, including promptness, are irrelevant.
Why A is wrong: The real-prospect test is for the discretionary set-aside in CPR 13.3; wrongly entered judgments fall under the mandatory CPR 13.2.
Why B is wrong: No relief from sanctions is needed; the judgment was wrongly entered and CPR 13.2 requires it to be set aside.
Why C is wrong: CPR 12.3(2) asks whether a defence had been filed at the date judgment is entered, not when the time limit expired.
Why D is wrong: No 14-day limit applies to a CPR 13.2 set-aside; promptness is a factor only under the discretionary CPR 13.3.
A little more practice done.
Related questions
Default judgment after an acknowledgment of service (CPR 10.3, 15.4, 12.3)
Which of the following best describes the position?
Defence that fails to deal with an allegation (CPR 16.5)
How will the allegation in paragraph (2), about delivery on 4 March 2026, be treated?
Summary judgment: no real prospect and no other compelling reason for a trial (CPR 24.3 and 24.4)
Which of the following best describes whether Brennan can obtain summary judgment?
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