Ballard v. Carriage Square at Gainey Village Homeowners Association - CV2025-007913

John Ballard and Claudia Ballard filed a lawsuit in the Superior Court of Arizona, Maricopa County, against Carriage Square at Gainey Village Homeowners Association (the HOA) and others, under Case No. CV 2025-007913 [1, 2]. Key Facts and Procedural History A default against the HOA was entered in May 2025 [3]. Over two months later, on August 11, 2025, the HOA filed an Answer without seeking to set aside the default [3, 4]. Plaintiffs promptly moved to strike the untimely Answer [3, 5]. On October 7, 2025, Judge David McDowell granted the Plaintiffs' motion, striking the HOA's Answer and declaring it to be of no effect [3, 4]. Because default was entered, the case proceeded to determine damages under the oversight of Commissioner Richard Albrecht [6-8]. Main Issues Liquidated Damages vs. Evidentiary Hearing: Plaintiffs argued that a damages hearing was unnecessary because their damages were liquidated and constituted a "sum certain" under Rule 55(b)(1) [8, 9]. Their claim was based on an appraiser's unsworn opinion regarding the loss of value to their home [8]. The Court disagreed, ruling that an unsworn appraisal does not constitute a "sum certain" and that an evidentiary hearing to prove damages under Rule 55(b)(2) was required [8, 9]. Right to a Jury Trial After Default: Plaintiffs demanded a jury trial to determine the amount of damages, arguing that their jury demand under Rule 38 survived the entry of default [10, 11]. On November 6, 2025, Commissioner Albrecht denied this request, holding that once default is entered, the defendant admits liability, meaning there are no longer issues of fact to be decided by a jury [11]. The Court clarified that under Arizona law, a default hearing on damages is a judicial determination, not a jury trial, and that Rule 55(b)(2) merely preserves jury rights where liability has not yet been established [12]. Final Outcome The court scheduled a virtual default hearing to determine damages, which was eventually rescheduled for January 22, 2026 [12, 13]. However, on December 31, 2025, the Plaintiffs filed a Notice of Settlement [14]. On January 14, 2026, Commissioner Addison Owen vacated the damages hearing and placed the case on the dismissal calendar until March 15, 2026, to allow the parties to finalize their agreement [14, 15]. Although Plaintiffs filed a unilateral Notice of Dismissal with Prejudice on January 30, 2026, the Court could not accept a dismissal signed by only one party because the Defendants had already appeared in the case [16]. Judge McDowell affirmed the March 15, 2026 dismissal deadline [16, 17]. Because the parties did not submit a joint stipulation or proposed order to the contrary, Judge McDowell signed an Order of Dismissal on June 22, 2026, dismissing the action in its entirety [18, 19]. Case Details: Case ID: ballard-v-carriage-square-at-gainey-village-homeowners-association Docket: CV2025-007913 For more AZ HOA transparency resources visit https://azhoawatch.org Legal & Accuracy Notice - azhoawatch.org is operated by Hound LLC, a homeowner-run project, not a law firm. Nothing in this video is legal advice or creates an attorney-client relationship. We analyze public court, ADRE, OAH, and related public records and may express opinions. Not affiliated with any court, ADRE, or the OAH. Read the full Legal & Terms: https://azhoawatch.org/legal