NANCY F. ATLAS, District Judge.
Before the Court is a "Notice of Motion and Motion to Modify Counterclaim Filing Deadline; Motion for Leave to File a Counterclaim; Memorandum of Points and Authorities Thereon" [Doc. # 85] ("Motion for Extension" or "Motion") filed by Defendants Mendez Master Training Center, Inc. ("MMTC"), MMTC Texas, Inc. ("MMTC Texas"), Tesla Shen Mendez, and Jorge Mendez (collectively, the "Mendez Defendants"). The Court ordered an expedited response to the Mendez Defendants' Motion. Hearing Minutes & Order [Doc. # 90].
On September 29, 2017, Plaintiff Federation of State Massage Therapy Boards (the "Federation") filed this copyright infringement lawsuit.
On May 21, 2018, the Federation filed a First Amended Complaint [Doc. # 58]. On July 3, 2018, the Mendez Defendants moved to dismiss the new complaint for failure to state a claim.
On September 10, 2018, the Mendez Defendants' filed their Answer [Doc. # 75]
Under Federal Rule of Civil Procedure 12(a)(4), "if the court denies [a Rule 12] motion . . ., [a] responsive pleading must be served within 14 days after notice of the court's action." To extend this 14-day deadline, a party must satisfy the standard set forth under Rule 6(b)(1).
Under Rule 6(b)(1)(B), the Court may grant a post-deadline motion for an extension if it finds "good cause" and only "if the party failed to act because of excusable neglect." See FED. R. CIV. P. 6(b)(1)(B).
The determination of whether a party's neglect was "excusable" is "at bottom an equitable one, taking account of all relevant circumstances surrounding the party's omission." See Pioneer Inv. Servs. Co. v. Brunswick Assocs. Ltd. P'ship, 507 U.S. 380, 395 (1993).
After considering the four Pioneer factors and "all relevant circumstances," see 507 U.S. at 395, the Court concludes that the Mendez Defendants have not met their burden to establish their delay in filing the Counterclaims was attributable to "excusable neglect" under Rule 6(b)(1)(B). See Tex. Hous. Agency, 176 F.R.D. at 536. Consequently, the Mendez Defendants' Motion to Extend is
It first must be noted that Defendants cite only Federal Rule of Civil Procedure 15(a) in support of their motion for additional time. That rule is inapplicable to the present circumstances. Rule 15(a) governs amendments to pleadings already on file. The Mendez Defendants, however, seek instead a post-deadline extension of time to file a pleading in the first instance. As noted, in the Court's November 1 Order, and again in the summary above of the applicable law, evaluation of this request is governed by Rule 6(b)(1)(B), which requires movant to show the deadline was missed as a result of excusable neglect. See iFLY Holdings LLC v. Indoor Skydiving Ger. Gmbh, No. 2:14-cv-01080-JRG-RSP, 2016 WL 3675135, at *1 (E.D. Tex. Mar. 14, 2016); Robin v. City of Frisco, No. 4:16-CV-00576, 2017 WL 2986315, at *1 (E.D. Tex. July 13, 2017); Mattress Giant Corp. v. Motor Advert. & Design Inc., No. 3:07-CV-1728-D, 2008 WL 898772, at *1 (N.D. Tex. Mar. 31, 2008). The Mendez Defendants' Motion fails to address the Pioneer factors," and their argument fails to satisfy the Rule 6(b)(1)(B) burden. See Tex. Hous. Agency, 176 F.R.D. at 536.
In the interests of justice, the Court evaluates the record under the four Pioneer factors. The Court finds that no extension is warranted under this analysis. The Court turns first to the most "critical" factor, the reason for the delay. See Hosp. del Maestro, 263 F.3d at 175 (quoting Lowry, 211 F.3d at 463). Herman Franck, Esq., new counsel for the Mendez Defendants formally appeared in this case on June 21, 2018,
The Mendez Defendants' reason for failing to meet the counterclaim deadline simply does not meet the excusable neglect standard. Counsel did not frequently check the Court's docket despite the knowledge that the Second Motion to Dismiss was pending and that he and his firm were not enrolled in the Court's CM/ECF system. Difficulties with ECF or complying with local procedures are generally not an acceptable reason for delay. Cf. Dimmitt v. Ockenfels, 407 F.3d 21, 23-24 (1st Cir. 2005) (upholding a denial of an extension when counsel's reason for delay was, among other things, "inexperience with the requirements of the District Court," "unfamiliarity with the local rules," and "extreme difficulties with . . . perfecting his ECF participation").
Moreover, Defendants offer no reason why they did not immediately seek an extension of the imminent 14-day deadline for counterclaims, once counsel learned the Court had denied the Second Motion to Dismiss.
The other Pioneer factors—prejudice to Counter-Defendant Federation, the length of the delay, and counsel's good faith—are mitigating but do not alter the outcome. See Adams, 465 F.3d at 161 n.8. First, the Court has no reason to believe that counsel has not acted in good faith. Second, the Federation's decision not to oppose the deadline extension suggests that the Federation believes it would not be prejudiced by addition of the proposed Counterclaims. A "lack of prejudice," however, is not "sufficient to demonstrate excusable neglect." See Rashid v. Delta State Univ., 306 F.R.D. 530, 534 (N.D. Miss. 2015). "The word `excusable' would be read out of the rule if inexcusable neglect were transmuted into excusable neglect by a mere absence of harm." Halicki v. La. Casino Cruises, Inc., 151 F.3d 465, 469 n.4 (5th Cir. 1998) (quoting Prizevoits v. Ind. Bell Tel. Co., 76 F.3d 132, 134 (7th Cir. 1996)). It is noted that the proposed Counterclaims were filed only 13 days late. Nevertheless, this case was pending 11 months before an answer was filed or any suggestion of counterclaims was expressed. Courts have denied extensions for even shorter delays when the reason for delay is inadequate. Cf. Midwest Emp'rs Cas. Co. v. Williams, 161 F.3d 877, 879-80 (5th Cir. 1998) (upholding a denial of an extension when the counsel's excuse was that he misread a rule, even though the motion was only two days late and the opposing party did not show undue prejudice). Cf. also Hawks v. J.P. Morgan Chase Bank, 591 F.3d 1043, 1047-48 (8th Cir. 2010) (upholding a denial of extension when the motion for extension was nine days late and counsel's excuse was that they were busy).
In light of the entire record and the reason for the failure to meet the 14-day deadline, the Court concludes that the Pioneer factors do not support the Mendez Defendants' request to extend the deadline to file counterclaims.
For the foregoing reasons, it is hereby
(b) Extending Time.
FED. R. CIV. P. 6(b).