Secure Energy Services Inc. v 1331616 Alberta Ltd., 2024 ABKB 604 (CanLII)
Secure Energy Services Inc.
Law Firm / Organization
Blake, Cassels & Graydon LLP
1331616 Alberta Ltd. also known as Zerocor Tubulars
Law Firm / Organization
Not Specified
Lone Star Pipe & Supply, LLC
Law Firm / Organization
Foster LLP
Petrosmith, LLC
Law Firm / Organization
Not Specified
Petrosmith Coating LP
Law Firm / Organization
Not Specified
Petrosmith Equipment, LP
Law Firm / Organization
Not Specified
ABC Corp.
Law Firm / Organization
Not Specified

Key Facts:

  • Secure Energy initiated legal action on April 15, 2021.
  • Lone Star Pipe & Supply LLC was served with an Amended Statement of Claim in November 2022. Lone Star did not respond, leading to it being noted in default.
  • Secure appealed the decision of the Applications Judge who set aside this default.

Issue on Appeal:

The appeal focused on whether Lone Star had a "reasonable excuse" for failing to defend itself in time.

Court’s Reasoning:

  • Lone Star claimed it did not monitor its registered office in Texas, where the claim was served.
  • Justice Kubik found no credible evidence to support Lone Star’s claim that it was unaware of the lawsuit.
  • Evidence showed that Lone Star’s managers and members had received notifications of the claim.
  • The court determined that failing to monitor the registered address was not a valid excuse.

Conclusion:

The court allowed Secure Energy’s appeal, maintaining the default judgment against Lone Star. Secure was awarded costs.

Court of King's Bench of Alberta
2101 04944
Corporate & commercial law
Appellant