Plaintiff appealed the trial court’s order setting aside a default judgment entered against defendant. Plaintiff argued that the trial court erred in concluding that defendant raised a meritorious defense based on its compliance with state law in withholding disbursements of property tax funds and claiming authority to refund an overpayment that was the source of the withheld disbursements. Plaintiff also challenged the trial court’s finding that defendant’s default was caused by negligence constituting good cause.
Where defendant presented an arguable theory of defense under plaintiff’s proffered interpretation of the relevant statutes, the trial court did not abuse its discretion in setting aside default judgment where defendant’s negligence in timely responding to plaintiff’s petition did not cause any prejudice.
Judgment is affirmed and remanded.
Independence School District No. 30 v. County of Jackson (MLW No. 79755/Case No. WD85398 – 15 pages) (Missouri Court of Appeals, Western District, Mitchell, J.) Appealed from circuit court, Jackson County, Garrett, III, J. (J. Drew Marriott and Brian Mayer, Independence, for appellant) (Joshua Haner and D. Ryan Taylor, Kansas City, for respondent)