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Is failure of their employees sufficient cause to vacate? I wouldn't think so. Legally, unless it can be shown the plaintiffs or the state messed up somehow, I would think the judgment should stand. But then I'm not a lawyer.

No idea how a default judgement works in the US - in Germany you can appeal against it. It only becomes final if you miss your second trial as well. Having a default judgement against yourself does have significant disadvantages, though. For one thing, the judgement can already be enforced.
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