Merrill Lynch, Pierce, Fenner & Smith Incorporated v. Sohmer

CourtDistrict Court, E.D. New York
DecidedJune 30, 2025
Docket1:16-cv-01856
StatusUnknown

This text of Merrill Lynch, Pierce, Fenner & Smith Incorporated v. Sohmer (Merrill Lynch, Pierce, Fenner & Smith Incorporated v. Sohmer) 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
Merrill Lynch, Pierce, Fenner & Smith Incorporated v. Sohmer, (E.D.N.Y. 2025).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK -------------------------------------------------------------- MERRILL LYNCH, PIERCE FENNER & SMITH, INC., MEMORANDUM & ORDER Interpleader Plaintiff, 16-CV-1856 (MKB)

v.

SEYMOUR SOHMER

and

LIBA TARGOWNIK, individually and as nominated executor of the estate of Sally Sohmer,

Interpleader Defendants. -------------------------------------------------------------- LIBA TARGOWNIK,

Plaintiff, 21-CV-172 (MKB)

SEYMOUR SOHMER,

Defendant. -------------------------------------------------------------- MARGO K. BRODIE, United States District Judge: On October 4, 2023, after a six-day trial in the above-captioned cases,1 the jury awarded the Estate of Sally Sohmer (the “Estate”) a total sum of $800,374.99 and awarded to Seymour a

1 On April 15, 2016, Interpleader Plaintiff Merrill Lynch, Pierce Fenner & Smith Incorporated (“Merrill Lynch”) commenced the first of two related actions (“Action I”). (Action I Compl., Merrill Lynch v. Sohmer, No. 16-CV-1856 (E.D.N.Y. Apr. 15, 2016), Docket Entry No. 1.) On December 17, 2020, Interpleader Defendant Liba Targownik commenced the second action (“Action II”) in New York State Surrogate’s Court, and Interpleader Defendant Seymour Sohmer (“Seymour”) removed the action to this Court. (Action II Compl., annexed to Notice of total sum of $470,326.12.2 (Verdict Form, Ct. Ex. 6, Docket Entry No. 65.) On October 11, 2023, the Court entered judgment according to the jury’s verdict, and on January 9, 2024, entered amended judgments in Action I and II to reflect the appropriate division of awards in each action.3 In a Memorandum and Order dated August 26, 2024, the Court directed the Clerk of Court to further amend the judgments in Action I to reflect that Targownik is entitled to $53,282.47 in prejudgment interest and in Action II to reflect that Seymour is entitled to post- judgment interest from October 11, 2023, until the date the judgment is satisfied (the “August

2024 Decision”). (Aug. 2024 Decision, Docket Entry No. 87.) In a Memorandum and Order dated October 2, 2024, the Court directed the Clerk of Court to further amend the Action I Second Amended Judgment to reflect that Seymour is required to pay $53,282.47 in prejudgment interest to the Estate (the “October 2024 Decision”). (Oct. 2024 Decision, Docket Entry No. 95.) Currently before the Court is Targownik’s motion to (1) amend her Action II pleading to clarify that her claim seeking the return of the funds in the Apple Bank checking account number ending in 8804 (the “Apple Bank Account”) is a claim of conversion; (2) amend the Action I Second Amended Judgment to make Seymour directly responsible for payment of the $18,000 withdrawn from the Apple Bank Account; (3) amend the Action I Second Amended Judgment to include prejudgment interest at a statutory rate of 9% per annum, beginning on February 29,

2016; and (4) amend the Action I Second Amended Judgment to include post-judgment interest,

Removal as Ex. A, Docket Entry No. 1-1; Notice of Removal, Docket Entry No. 1.) Unless otherwise noted, the Court refers to the docket entries filed in Action II.

2 Because there are multiple individuals with the name Sohmer, for ease of reference, the Court will refer to the Sohmers by their given names.

3 (See Judgment, Docket Entry No. 66; Action I Am. Judgment, Merrill Lynch v. Sohmer, No. 16-CV-1856 (E.D.N.Y. Jan. 9, 2024), Docket Entry No. 186; Action II Am. Judgment, Docket Entry No. 77.) calculated from the entry of judgment at a rate equal to the weekly average one-year constant maturity Treasury yield, until the judgment is satisfied.4 For the reasons stated below, the Court denies Targownik’s motion in its entirety. I. Background The Court assumes familiarity with the facts as detailed in the August 2024 Decision and October 2024 Decision, and therefore only provides a summary of the pertinent facts. Merrill Lynch filed Action I on April 15, 2016, pursuant to 28 U.S.C. § 1335, to determine

proper ownership of, distribution of, and Interpleader Defendants’ entitlement to, funds in a joint investment account held by Merrill Lynch5 on behalf of the decedent, Sally Sohmer (“Sally”). (Action I Compl.) On December 17, 2020, Targownik6 commenced Action II in New York State Surrogate’s Court, seeking the return of a $210,000 loan Sally had provided to her brother, Seymour, and Seymour removed the action to this Court. (Action II Compl.; Notice of Removal.) In his Answer to the Action II Complaint, Seymour asserted counterclaims for, inter alia, intentional interference with economic interests, conversion, and trespass to chattels, and Targownik later amended the Action II Complaint to include claims for conversion and trespass to chattels.7

4 (Targownik’s Mot. to Amend & Alter Judgment (“Targownik’s Mot.”), Docket Entry No. 96; Seymour’s Opp’n to Targownik’s Mot. (“Seymour’s Opp’n”), Docket Entry No. 97.)

5 On May 1, 2017, by stipulation of the parties, the Court dismissed Merrill Lynch as a party. (Stip. & Order of Dismissal, Merrill Lynch v. Sohmer, No. 16-CV-1856 (E.D.N.Y. May 1, 2017), Docket Entry No. 52.)

6 Merrill Lynch brought Action I against Targownik as “nominated executor of” and “a named beneficiary of [Sally’s] estate.” (Action I Compl. ¶¶ 1, 7.)

7 (Answer, Docket Entry No. 8; Targownik’s Letter Mot. to Amend Action II Compl., Docket Entry No. 53; Order dated Oct. 2, 2023 (granting Targownik’s letter motion to amend).) On October 4, 2023, the jury awarded the Estate a total sum of $800,374.99 and awarded to Seymour a total sum of $470,326.12. (Verdict Form.) On October 11, 2023, the Court entered judgment according to the jury’s verdict, and on January 9, 2024, the Court entered amended judgments in Action I and II to reflect the appropriate division of awards in each action. (See Judgment; Action I Am. Judgment; Action II Am. Judgment.) On March 22, 2024, Targownik filed a post-trial motion to set aside the jury’s verdict as inconsistent and to alter or amend the judgment, and Seymour filed a post-trial motion to alter or amend the judgment. (Targownik’s

Post-Trial Mot., Docket Entry No. 80; Seymour’s Post-Trial Mot., Docket Entry No. 81.) In the August 2024 Decision, the Court (1) denied Targownik’s motion to set aside or amend the jury’s verdict as inconsistent; (2) granted Targownik’s motion for prejudgment interest on the $210,000 loan to accrue at a rate of 9% per annum from December 17, 2020, until October 11, 2023; (3) denied Seymour’s motion for prejudgment interest on the conversion claim; and (4) granted Seymour’s motion for post-judgment interest on the conversion claim at the rate set forth in 28 U.S.C. § 1961. (Aug. 2024 Decision 30.) On August 29, 2024, the Clerk of Court entered Second Amended Judgments in each action in accordance with the August 2024 Decision. (Action I Second Am. Judgment, Merrill Lynch v. Sohmer, No. 16-CV-1856 (E.D.N.Y. Aug. 29, 2024), Docket Entry No. 198; Action II Second Am. Judgment, Docket Entry No. 89.)

On September 9, 2024, Seymour filed a motion for partial reconsideration pursuant to Rule 59(e) and Rule 60(b) of the Federal Rules of Civil Procedure, and Targownik filed a motion for partial reconsideration and motion to amend. (Seymour’s Mot. to Reconsider, Docket Entry No. 90; Targownik’s Mot. to Reconsider & Amend, Docket Entry No. 91.) In the October 2024 Decision, the Court denied Seymour’s and Targownik’s motions for partial reconsideration and granted in part and denied in part Targownik’s motion to amend. (Oct.

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Merrill Lynch, Pierce, Fenner & Smith Incorporated v. Sohmer, Counsel Stack Legal Research, https://law.counselstack.com/opinion/merrill-lynch-pierce-fenner-smith-incorporated-v-sohmer-nyed-2025.