Heriberto Guadalupe v. Chase Auto Finance Corp. and Dezba Asset Recovery

CourtDistrict Court, E.D. New York
DecidedFebruary 19, 2026
Docket2:25-cv-00718
StatusUnknown

This text of Heriberto Guadalupe v. Chase Auto Finance Corp. and Dezba Asset Recovery (Heriberto Guadalupe v. Chase Auto Finance Corp. and Dezba Asset Recovery) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Heriberto Guadalupe v. Chase Auto Finance Corp. and Dezba Asset Recovery, (E.D.N.Y. 2026).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK X HERIBERTO GUADALUPE,

Plaintiff,

MEMORANDUM AND ORDER

-against- 25-CV-00718 (HG) (JMW)

CHASE AUTO FINANCE CORP., and DEZBA ASSET RECOVERY, Defendants. X

A P P E A R A N C E S:

Vlad Hirnyk Sergei Lemberg Lemberg & Associates, LLC 1100 Summer Street, 3rd Floor Stamford, CT 06905 Attorneys for Plaintiff

Christopher B. Turcotte Turcotte Law, P.C. 641 Lexington Avenue, 15th Floor New York, NY 10022 Attorney for Defendants

WICKS, Magistrate Judge: Plaintiff Heriberto Guadalupe (“Plaintiff”) commenced this action on February 7, 2025 against Defendants Chase Auto Finance Corp. (“Chase”)1 and DEZBA Asset Recovery (“DEZBA”)(collectively, “Defendants”) claiming unlawful and wrongful repossession of Plaintiff’s 2018 Honda HR-V (“Vehicle”) in violation of the Fair Debt Collection Practices Act,

1 Defendant JPMorgan Chase Bank, N.A. was incorrectly sued herein as Chase Auto Finance Corp. As such, any reference made to Chase refers to JPMorgan Chase. 15 U.S.C. § 1692, et seq., (“FDCPA”) and Article 9 of the United Commercial Code, New York General Business Law § 349. Plaintiff also asserts claims for conversion, trespass, and breach of peace. (See generally ECF No. 1.) On December 30, 2025, the Hon. Hector Gonzalez determined that Defendants established a prima facie case for civil contempt against non-party Sol

Enterprise Transport (“SET”) for SET’s failure to comply with a subpoena duces tecum (ECF No. 30-1) served by Chase on July 23, 2025. (Electronic Order dated December 30, 2025.) The parties are before the Court on Chase’s request for a hearing to determine appropriate sanctions following Judge Gonzalez’s finding SET in civil contempt. (ECF No. 35; Electronic Order, 02/02/2026.) For reasons stated below, the Court determines that a daily monetary fine of $500 per day beginning on February 26, 2026 be imposed upon SET, in addition to reimbursing Chase for its reasonable attorneys’ fees and costs incurred in connection with filing the motion for contempt. BACKGROUND In July 2024, Plaintiff entered into an automobile finance agreement with Chase to

purchase the Vehicle. (ECF No. 1 at ¶ 12.) According to Plaintiff, Chase released its security interest in the Vehicle on July 29, 2024 after filing a “Notice of Recorded Lien” stating that its security interest in the Vehicle was “satisfied.” (Id. at ¶¶ 13, 15.) Notwithstanding, Plaintiff avers that Chase issued an Order to Repossess on January 18, 2025 whereby Chase directed Defendant DEZBA to repossess the Vehicle from Plaintiff’s home. (Id. at ¶¶ 16-17.) Shortly thereafter, on January 21, 2025, Plaintiff maintains that Defendants unlawfully repossessed the Vehicle “without legal authority,” “without a court order,” and “without providing the required notices under state and federal law.” (Id. at ¶¶ 18-19.) Despite Plaintiff’s objection to the repossession, Defendant DEZBA towed the Vehicle without Plaintiff’s personal possessions inside. (See id. at ¶¶ 20-23.) According to Plaintiff, Defendants’ conduct caused him “financial loss, emotional distress, and inconvenience, including but not limited to loss of employment opportunities,

transportation difficulties, and reputational harm.” (Id. at ¶ 25.) Consequently, Plaintiff asserts causes of action for violations of the FDCPA as to Defendant DEZBA’s asset recovery, New York’s Uniform Commercial Code for conducting the repossession with a “breach of the peace,” New York’s General Business Law for engaging in unlawful deceptive practices and acts, and for conversion, trespass to chattels, and breach of peace. (Id. at pp. 4-9.) Plaintiff seeks damages of (i) $39,600.00 in lost wages; (ii) statutory damages of $1,000.00; (iii) emotional distress damages of $10,000.00; and (iv) reasonable attorney fees and costs as a result of Defendants’ conduct. (See ECF No. 28, Ex. B; see also ECF No. 43-14.) At the time of repossession, Plaintiff was employed by SET as an independent contractor. (ECF No. 43, Turcotte Decl. at ¶ 3.) Following Plaintiff’s identification of SET as his employer

on July 17, 2025 in connection with Plaintiff’s discovery responses, Chase personally served SET’s principal Christofer Solano (“Solano”) with Chase’s subpoena duces tecum on July 23, 2025 at SET’s address—1172 Nugent Avenue, Bay Shore, NY 11706—calling for the production of certain employment and payroll records by August 6, 2025. (Id. at ¶ 4; see ECF No. 30-2; ECF No. 43-12 and 43-13 (setting forth the address of SET’s Bay Shore location)). A week later, on July 30, 2025, Solano emailed counsel indicating that he received the subpoena and sought clarification about its scope and what he was required to produce. (See ECF No. 43, Turcotte Decl. at ¶ 5; see also ECF No. 43-5.) Despite counsel for Chase’s response and clarification with Solano, see ECF No 43-6, 43-7, Solano never responded and failed to comply with the subpoena by the August 6 deadline. (See ECF No. 30 at p. 2.) The August 6 deadline passed and on August 8, 2025 counsel for Chase emailed Solano reminding Solano of the missed deadline, inquiring into the status of the subpoena response, and

inviting Solano to contact counsel if he had any questions. (See ECF No. 43, Turcotte Decl. at ¶ 7; see also ECF No. 43-7.) Then again on August 18, 2025, counsel for Chase emailed Solano reminding Solano that as per his July 30, 2025 email he indicated he was in possession of responsive documents, advising him that he should contact counsel for Chase to advise on an intended response timeline, and forewarning that absent a response Chase would seek Court intervention. (See ECF No. 43, Turcotte Decl. at ¶ 8; see also ECF No. 43-7.) Solano did not respond to the August 8 and August 18 emails. (See ECF No. 43, Turcotte Decl. at ¶ 8.) Consequently, Chase filed a motion on August 25, 2025, seeking to hold SET in civil contempt of court for failing to comply with the subpoena duces tecum, that an order be entered directing SET to provide true and complete responses to the subpoena by a date certain, and

award Chase costs and expenses incurred in filing the motion. (See ECF No. 20; see also ECF No. 43, Turcotte Decl. at ¶ 9.) Then-presiding Magistrate Judge Arlene R. Lindsay denied the motion without prejudice and leave to renew “if necessary.” (Electronic Order dated October 8, 2025.) Chase renewed its motion to compel compliance with the subpoena duces tecum on November 17, 2025. (ECF No. 30.) Judge Gonzalez then directed that SET’s response to the motion be filed on or before December 10, 2025. (Electronic Order dated November 17, 2025; see ECF No. 43-8.) Chase served its motion and the November 17 Order upon SET by U.S. first class mail, FedEx overnight mail, and email, none of which were returned as undeliverable. (See ECF No. 31; see also ECF No. 43-9) Neither SET nor Solano contacted the Court in connection with Chase’s motion or Chase’s subpoena duces tecum. (See ECF No. 43, Turcotte Decl. at ¶ 13.) As such, counsel for Chase filed a letter once again seeking that SET be held in contempt, that SET be directed to provide true and accurate responses to the subpoena by a date certain,

and that Chase be awarded costs and expenses. (See id. at ¶ 14.) On December 30, 2025, Judge Gonzalez determined that Chase made out a “prima facie case for civil contempt” and held SET in contempt (“December 2025 Order”).

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Heriberto Guadalupe v. Chase Auto Finance Corp. and Dezba Asset Recovery, Counsel Stack Legal Research, https://law.counselstack.com/opinion/heriberto-guadalupe-v-chase-auto-finance-corp-and-dezba-asset-recovery-nyed-2026.