Louis H. GROSS, Lillian C. Gross and Marvin Kowit, Co-Partners, Trading as Gross & Kowit v. STEREO COMPONENT SYSTEMS, INC., Appellant

OPINION OF THE COURT

SLOVITER, Circuit Judge.

This is an appeal from the district court’s denial of appellant’s motion to set aside a default judgment entered against it for failure to timely answer the complaint. Because no prejudice accrued to the plaintiff, a potentially meritorious defense was available to the defendant, and defendant’s conduct in failing to timely answer was not willful, we vacate the order and remand for further proceedings.

I

The complaint in this diversity action was filed on March 17,1982 in the United States District Court for the Eastern District of Pennsylvania by…