Tavares

MEMORANDUM *

AGFA seeks recovery from Tavares for breach of an equipment lease agreement. Tavares was to make sixty monthly lease payments under the agreement, but ceased payment after three months. Tavares did not answer or otherwise plead in response to AGFA’S complaint, and AGFA moved for a default judgment. The district court dismissed AGFA’S complaint. We reverse. Because the parties are familiar with the facts, we will only repeat them as necessary to explain our ruling.

The district court, adopting the recommendations of the magistrate judge, dismissed AGFA’S complaint because the complaint did not provide information about the residual value or resale of the equipment. AGFA had not yet received the equipment at the time it filed its complaint. One count of the complaint requested return of the equipment. The contract in this case specifies that it is governed by Massachusetts law. Under Massachusetts law, a seller of equipment is not obliged to “repossess the equipment and resell it to mitigate damages. To the contrary, the seller may sue for the price of the equipment.” Equilease Corp. v. D’Annolfo, 6 Mass.App.Ct. 919 , 879 N.E.2d 1130 , 1131 (1978). Therefore, AGFA’S…