Kinetic Systems, Inc., v. IPS-Integrated Project Services, LLC and Lonza Biologics, Inc.,
Opinion
UNITED STATES DISTRICT COURT
DISTRICT OF NEW HAMPSHIRE
Kinetic Systems, Inc., Case No. 20-cv-1125-SM v. Opinion No. 2021 DNH 180
IPS-Integrated Project Services, LLC and Lonza Biologics, Inc.,
O R D E R
Plaintiff seeks a prejudgment writ of attachment against
the assets of defendants in the amount of $13,973,898.26 (though
the claims, potential liability, amount actually in dispute,
amount likely to be recovered, and strength of the respective
cases differs markedly as to each defendant).
New Hampshire law controls. Fed. R. Civ. P. 64; N.H. Rev.
Stat. Ann. Ch. 511-A:3. Generally, plaintiff must make a strong
preliminary showing that it will ultimately prevail on the
merits and obtain judgment in the requested amount. Diane Holly
Corp. v. Bruno & Stillman Yacht Co., 559 F. Supp. 559, 560-61
(D.N.H. 1983). New Hampshire’s Constitution offers special
protection against prejudgment attachments of property by a
strong preliminary showing of probable success; “more than a
favorable chance of success must be shown . . . [P]laintiff must
make a strong preliminary showing that he or she will ultimately
prevail on the merits and obtain judgment in the requested amount and that showing must be established by proof greater
than proof by a mere preponderance of the evidence. Id. at 561.
Here, plaintiff has not pled sufficient facts or
circumstances to support issuance of a writ of attachment in the
amount requested. First, the amount in contention is now
acknowledged to be far less than the amount requested in the
petition. Plaintiff also notes that the only dispute in this
litigation is the amount owed it for extra work done under
contract. But it is hardly clear what that amount is — it is
not a liquidated amount, but an amount claimed based upon
directives, reasonable time expended, costs of materials,
chargeable add-on costs and other variables — all of which are
firmly contested by defendants. The parties anticipate
presenting opposing evidence regarding what directions were
given, what time and materials were required (and actually
employed), the value of that work, chargeable add-on costs, etc.
Both parties anticipate presenting expert testimony regarding
reasonable time and costs to complete extra work.
It can hardly be said at this point that plaintiff can make
a “strong preliminary showing of probable success” in obtaining
a judgment against either defendant in the amount requested,
and, indeed, the record, as it currently stands, makes clear
that plaintiff cannot.
2 Conclusion
The petition for prejudgment attachment (doc. no. 24) is
denied albeit without prejudice to refiling with respect to some
amount that may qualify under the applicable standards. Though,
given the brief survey above, that possibility seems unlikely
absent agreement and in light of the fact that, under New
Hampshire law, even if a lesser amount likely to be recovered
could be established, a prejudgment attachment would still not
issue if defendants are able to pay such an amount should a
judgment be obtained.
SO ORDERED.
____________________________ Steven J. McAuliffe United States District Judge
November 22, 2021
cc: Counsel of Record
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