Dorsey

MEMORANDUM **

Darryl Payne and Classic World Productions, Inc. (defendants) appeal from a default judgment entered in the district court. We hold the district court abused its discretion by refusing to grant a continuance to the defendants when their counsel withdrew several days before trial. We vacate the default judgment and reverse and remand for a plenary trial.

Facts

Arnold Dorsey performs under the stage name “Engelbert Humperdinck.” Darryl Payne is the owner of Classic World Productions, Inc. On October 18, 1999, Dorsey sued Payne and Classic World, as well as Ian Merrick and Awesome Force Co., Ltd. Dorsey alleged that beginning in December 1997, Payne, Classic World, and Merrick unlawfully manufactured, sold, and licensed to others audio reproductions of a recording of Dorsey’s 1985 live concert at the Royal Albert Hall in London, England. *166 The defendants allege they acted pursuant to a signed agreement among the parties. The district court set a trial date of September 12, 2000.

The defendants were initially represented by their insurance provider, Scottsdale Insurance Company. In December 1999, Scottsdale retained counsel for defendants following its…