RDM Capital Funding, LLC v Vida Lease Corp 2024 NY Slip Op 31866(U) May 29, 2024 Supreme Court, New York County Docket Number: Index No. 656375/2019 Judge: Debra A. James Cases posted with a "30000" identifier, i.e., 2013 NY Slip Op 30001(U), are republished from various New York State and local government sources, including the New York State Unified Court System's eCourts Service. This opinion is uncorrected and not selected for official publication. INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
SUPREME COURT OF THE STATE OF NEW YORK NEW YORK COUNTY PRESENT: HON. DEBRA A. JAMES PART 59 Justice ----------------------------------------------------------------- ----------------X INDEX NO. 656375/2019 ROM CAPITAL FUNDING, LLC, MOTION DATE 05/29/2024 Plaintiff, MOTION SEQ. NO. 004 - V -
VIDA LEASE CORP and MELODY PAN, DECISION + ORDER ON MOTION Defendants. ------------------------------------------------------------------- --------------X
The following e-filed documents, listed by NYSCEF document number (Motion 004) 54, 55, 56, 57, 58, 59, 60, 61, 62, 63, 64, 65, 66, 67, 68, 69, 70, 71, 72, 73, 74, 75, 76, 77 were read on this motion to/for JUDGMENT-SUMMARY
ORDER
Upon the foregoing documents, it is
It appearing to the court that plaintiff is entitled to
judgment on liability and that the only triable issues of fact
arising on plaintiff's motion for summary judgment relate to the
amount of damages to which plaintiff is entitled, it is
ORDERED that the motion is granted with regard to liability;
and it is further
ORDERED that this matter having come on before this
court on May 29, 2024, on motion of the plaintiff for summary
judgment on its first cause of action for breach contract and on
its second cause of action for breach of a personal guaranty, and
the plaintiff having been represented in connection therewith by
Jeffrey Michael Parrella, Esq., and the defendants having been
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 1 of 6 Motion No. 004
1 of 6 [* 1] INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
represented in connection therewith by Amos Weinberg, Esq., and,
pursuant to CPLR § 431 7, the court having on its own motion
determined to consider the appointment of a referee to determine
as follows, an issue of damages separately triable and not
requiring a trial by jury is involved, it is now hereby
ORDERED that a Judicial Hearing Officer ("JHO") or Special
Referee shall be designated to determine the following individual
issues of fact, which are hereby submitted to the JHO/Special
Referee for such purpose:
(1) the issue of balance due from defendant Vida Lease Corp under the merchant cash advance agreement of July 29, 2019 that plaintiff shall recover from defendant Vida Lease Corp;
-and-
(2) the issue of the issue of the amount of the balance due that plaintiff shall recover from defendant Melody Pan under the personal guaranty of the foregoing merchant cash advance agreement, should defendant Vida Lease Corp not pay the balance due to plaintiff;
ORDERED that the powers of the JHO/Special Referee shall not
be limited beyond the limitations set forth in the CPLR;
ORDERED that this matter is hereby referred to the Special
Referee Clerk for placement at the earliest possible date upon the
calendar of the Special Referees Part (Part SRP), which, in
accordance with the Rules of that Part (which are posted on the
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 2 of 6 Motion No. 004
2 of 6 [* 2] INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
website of this court at www.nycourts.gov/supctmanh at the
"References" link), shall assign this matter at the initial
appearance to an available JHO/Special Referee to determine as
specified above; and it is further
ORDERED that counsel shall immediately consult one another
and counsel for plaintiff shall, within twenty (20) days from the
date of this Order, submit to the Special Referee Clerk by e-mail
an Information Sheet (accessible at the "References" link on the
court's website) containing all the information called for therein
and that, as soon as practical thereafter, the Special Referee
Clerk shall advise counsel for the parties of the date fixed for
the appearance of the matter upon the calendar of the Special
Referees Part; and it is further
ORDERED that the parties shall appear for the reference
hearing, including with all witnesses and evidence they seek to
present, and shall be ready to proceed with the hearing, on the
date fixed by the Special Referee Clerk for the initial appearance
in the Special Referees Part, subject only to any adjournment that
may be authorized by the Special Referees Part in accordance with
the Rules of that Part; and it is further
ORDERED that, except as otherwise directed by the assigned
JHO/Special Referee for good cause shown, the trial of the issue(s)
specified above shall proceed from day to day until completion and
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 3 of 6 Motion No. 004
3 of 6 [* 3] INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
counsel must arrange their schedules and those of their witnesses
accordingly; and it is further
ORDERED that counsel shall file memoranda or other documents
directed to the assigned JHO/Special Referee in accordance with
the Uniform Rules of the Judicial Hearing Officers and the Special
Referees (available at the "References" link on the court's
website) by filing same with the New York State Courts Electronic
Filing System (see Rule 2 of the Uniform Rules); and it is further
ORDERED that such service upon the General Clerk's Office
shall be made in accordance with the procedures set forth in the
Protocol on Courthouse and County Clerk Procedures for
Electronically Filed Cases (accessible at the "E-Filing" page on
the court's website); and it is further
ORDERED that pursuant to CPLR § 4319, the Clerk shall enter
judgment with pre-judgment interest at the statutory rate from
October 18, 2019 until entry of judgment, plus costs and
disbursements upon submission of a proper bill of costs, upon the
determination of the Special Referee, without further order of
this court.
DECISION
See Seidel v 18 E 17 th St Owners, 79 NY2d 735, 744 (1992)
( "Usury laws apply only to loans or forbearances, not
investments") .
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 4 of 6 Motion No. 004
4 of 6 [* 4] INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
As stated in Pr incipi s Capital, LLC v I Do, Inc , 201 AD3d
752, 754 (2d Dept 2022):
"Here, the plaintiff established that the transaction set forth in the agreement was not a loan. The terms of the agreement specifically provided for adjustments to the monthly payments made by I Do to the plaintiff based on changes in I Do's monthly sales. Concomitantly, as the amount of the monthly payments could change, the term of the agreement was not finite. Moreover, no contractual provision existed establishing that a declaration of bankruptcy would constitute an event of default".
Nor does defendants' lack of subject matter jurisdiction
defense have any merit. The action at bar is distinguishable on
Free access — add to your briefcase to read the full text and ask questions with AI
RDM Capital Funding, LLC v Vida Lease Corp 2024 NY Slip Op 31866(U) May 29, 2024 Supreme Court, New York County Docket Number: Index No. 656375/2019 Judge: Debra A. James Cases posted with a "30000" identifier, i.e., 2013 NY Slip Op 30001(U), are republished from various New York State and local government sources, including the New York State Unified Court System's eCourts Service. This opinion is uncorrected and not selected for official publication. INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
SUPREME COURT OF THE STATE OF NEW YORK NEW YORK COUNTY PRESENT: HON. DEBRA A. JAMES PART 59 Justice ----------------------------------------------------------------- ----------------X INDEX NO. 656375/2019 ROM CAPITAL FUNDING, LLC, MOTION DATE 05/29/2024 Plaintiff, MOTION SEQ. NO. 004 - V -
VIDA LEASE CORP and MELODY PAN, DECISION + ORDER ON MOTION Defendants. ------------------------------------------------------------------- --------------X
The following e-filed documents, listed by NYSCEF document number (Motion 004) 54, 55, 56, 57, 58, 59, 60, 61, 62, 63, 64, 65, 66, 67, 68, 69, 70, 71, 72, 73, 74, 75, 76, 77 were read on this motion to/for JUDGMENT-SUMMARY
ORDER
Upon the foregoing documents, it is
It appearing to the court that plaintiff is entitled to
judgment on liability and that the only triable issues of fact
arising on plaintiff's motion for summary judgment relate to the
amount of damages to which plaintiff is entitled, it is
ORDERED that the motion is granted with regard to liability;
and it is further
ORDERED that this matter having come on before this
court on May 29, 2024, on motion of the plaintiff for summary
judgment on its first cause of action for breach contract and on
its second cause of action for breach of a personal guaranty, and
the plaintiff having been represented in connection therewith by
Jeffrey Michael Parrella, Esq., and the defendants having been
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 1 of 6 Motion No. 004
1 of 6 [* 1] INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
represented in connection therewith by Amos Weinberg, Esq., and,
pursuant to CPLR § 431 7, the court having on its own motion
determined to consider the appointment of a referee to determine
as follows, an issue of damages separately triable and not
requiring a trial by jury is involved, it is now hereby
ORDERED that a Judicial Hearing Officer ("JHO") or Special
Referee shall be designated to determine the following individual
issues of fact, which are hereby submitted to the JHO/Special
Referee for such purpose:
(1) the issue of balance due from defendant Vida Lease Corp under the merchant cash advance agreement of July 29, 2019 that plaintiff shall recover from defendant Vida Lease Corp;
-and-
(2) the issue of the issue of the amount of the balance due that plaintiff shall recover from defendant Melody Pan under the personal guaranty of the foregoing merchant cash advance agreement, should defendant Vida Lease Corp not pay the balance due to plaintiff;
ORDERED that the powers of the JHO/Special Referee shall not
be limited beyond the limitations set forth in the CPLR;
ORDERED that this matter is hereby referred to the Special
Referee Clerk for placement at the earliest possible date upon the
calendar of the Special Referees Part (Part SRP), which, in
accordance with the Rules of that Part (which are posted on the
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 2 of 6 Motion No. 004
2 of 6 [* 2] INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
website of this court at www.nycourts.gov/supctmanh at the
"References" link), shall assign this matter at the initial
appearance to an available JHO/Special Referee to determine as
specified above; and it is further
ORDERED that counsel shall immediately consult one another
and counsel for plaintiff shall, within twenty (20) days from the
date of this Order, submit to the Special Referee Clerk by e-mail
an Information Sheet (accessible at the "References" link on the
court's website) containing all the information called for therein
and that, as soon as practical thereafter, the Special Referee
Clerk shall advise counsel for the parties of the date fixed for
the appearance of the matter upon the calendar of the Special
Referees Part; and it is further
ORDERED that the parties shall appear for the reference
hearing, including with all witnesses and evidence they seek to
present, and shall be ready to proceed with the hearing, on the
date fixed by the Special Referee Clerk for the initial appearance
in the Special Referees Part, subject only to any adjournment that
may be authorized by the Special Referees Part in accordance with
the Rules of that Part; and it is further
ORDERED that, except as otherwise directed by the assigned
JHO/Special Referee for good cause shown, the trial of the issue(s)
specified above shall proceed from day to day until completion and
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 3 of 6 Motion No. 004
3 of 6 [* 3] INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
counsel must arrange their schedules and those of their witnesses
accordingly; and it is further
ORDERED that counsel shall file memoranda or other documents
directed to the assigned JHO/Special Referee in accordance with
the Uniform Rules of the Judicial Hearing Officers and the Special
Referees (available at the "References" link on the court's
website) by filing same with the New York State Courts Electronic
Filing System (see Rule 2 of the Uniform Rules); and it is further
ORDERED that such service upon the General Clerk's Office
shall be made in accordance with the procedures set forth in the
Protocol on Courthouse and County Clerk Procedures for
Electronically Filed Cases (accessible at the "E-Filing" page on
the court's website); and it is further
ORDERED that pursuant to CPLR § 4319, the Clerk shall enter
judgment with pre-judgment interest at the statutory rate from
October 18, 2019 until entry of judgment, plus costs and
disbursements upon submission of a proper bill of costs, upon the
determination of the Special Referee, without further order of
this court.
DECISION
See Seidel v 18 E 17 th St Owners, 79 NY2d 735, 744 (1992)
( "Usury laws apply only to loans or forbearances, not
investments") .
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 4 of 6 Motion No. 004
4 of 6 [* 4] INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
As stated in Pr incipi s Capital, LLC v I Do, Inc , 201 AD3d
752, 754 (2d Dept 2022):
"Here, the plaintiff established that the transaction set forth in the agreement was not a loan. The terms of the agreement specifically provided for adjustments to the monthly payments made by I Do to the plaintiff based on changes in I Do's monthly sales. Concomitantly, as the amount of the monthly payments could change, the term of the agreement was not finite. Moreover, no contractual provision existed establishing that a declaration of bankruptcy would constitute an event of default".
Nor does defendants' lack of subject matter jurisdiction
defense have any merit. The action at bar is distinguishable on
its facts from those of American Express National Bank v Pino
Napoli Tile & Granite, LLC, 79 Misc3d 668, *668 (Sup Ct, NY Co
2023), where the court found that plaintiff "has not demonstrated
that it comes within [the exemption carved out of Business
Corporation Law §1314(c) for] "'any corporation which was formed
under the laws of the United States and which maintains an office
in this state.'" While in American Express v Pino Napoli Tile,
ibid, "plaintiff relies only on an affirmation of counsel", here,
plaintiff submits a complaint, verified by a representative of
plaintiff, which states that plaintiff was incorporated in the
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 5 of 6 Motion No. 004
5 of 6 [* 5] INDEX NO. 656375/2019 NYSCEF DOC. NO. 78 RECEIVED NYSCEF: 05/29/2024
State of New Jersey (NYSCEF Document Number 60), as well as a New
York State Department of State record that lists an address in
Brooklyn, New York, as the agent for process of plaintiff (NYSCEF
Document Number 74).
P- ~ .A - } ~ 20240529 l 7 l 750DJ AME SC 15F88F E68524F61AF6FF04299B9FABA
5/29/2024 DATE DEBRA A. JAMES, J.S.C.
~ ~ CHECK ONE: CASE DISPOSED NON-FINAL DISPOSITION
□ DENIED □ GRANTED GRANTED IN PART OTHER
APPLICATION: SETTLE ORDER SUBMIT ORDER
CHECK IF APPROPRIATE: INCLUDES TRANSFER/REASSIGN FIDUCIARY APPOINTMENT 0 REFERENCE
656375/2019 RDM CAPITAL FUNDING, LLC vs. VIDA LEASE CORP Page 6 of 6 Motion No. 004
6 of 6 [* 6]