Roytlender v. D. Malek Realty, LLC

CourtDistrict Court, E.D. New York
DecidedJune 10, 2024
Docket2:21-cv-00052
StatusUnknown

This text of Roytlender v. D. Malek Realty, LLC (Roytlender v. D. Malek Realty, LLC) 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
Roytlender v. D. Malek Realty, LLC, (E.D.N.Y. 2024).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK --------------------------------------------------------------------X MAYA ROYTLENDER,

Plaintiff, ORDER -against- 21-CV-00052 (JMW)

D. MALEK REALTY, LLC et. al.,

Defendants. --------------------------------------------------------------------X

A P P E A R A N C E S: Paul L. Dashefsky, Esq. 317 Middle Country Road Smithtown, NY 11787 Attorney for Plaintiff and Counter Defendant Maya Roytlender Jonathan D. Farrell, Esq. Daniel Frank Carrascal, Esq. Mark A. Radi, Esq. Meltzer Lippe Goldstein & Breitstone LLP 190 Willis Avenue Mineola, NY 11501 Attorneys for Defendants D. Malek Realty, LLC, Malek Management Corporation, StaffPro, Inc., David Malek, and Michael Malek WICKS, Magistrate Judge: What is the scope of attorney’s fees and costs that can be imposed upon a non-party found in contempt for defiance of subpoenas and court orders directing her deposition? Plaintiff Maya Roytlender filed this action against Defendants and counterclaimants Malek Realty, LLC, Malek Management Corporation, StaffPro, Inc., David Malik, and Michael Malek (“Defendants”) alleging violations of the Fair Labor Standards Act and the New York Labor Law. (ECF No. 1.) In response, Defendants filed counterclaims against Plaintiff alleging she engaged in fraudulent activity, breached her fiduciary duties, and was a faithless servant. (ECF No. 14.) Before the Court at this time is a motion for attorney’s fees incurred for the failure of a non-party Nicole Roytlender (“Nicole”), Plaintiff’s daughter, to comply with subpoenas and

court orders directing her to appear for her scheduled deposition and produce relevant documents. (See e.g. ECF Nos. 94, 98, 108.) Nicole’s testimony, according to Defendants, would have been particularly relevant in this case given that Nicole allegedly cashed $30,000 in checks that Defendants issued, although Defendants did not authorize such payments. (See ECF Nos. 71 and 84.) For the reasons stated below, Defendants’ motion for attorneys’ fees and costs (ECF No. 118) is granted, subject to the deductions set forth herein. BACKGROUND Nicole’s protracted history of evading Defendants’ attempts to get her to produce documents and sit for the scheduled depositions is troubling and particularly noteworthy here. On October 20, 2021, Defendants first issued a subpoena to Nicole ordering her to appear for a

deposition scheduled for December 8, 2021. (ECF Nos. 71 and 94.) That deposition did not proceed as scheduled due to outstanding discovery issues. (Id.) On April 19, 2022, Defendants issue a second subpoena to Nicole ordering her to produce documents and to appear for a deposition scheduled for May 11, 2022. (Id.) However, Defendants were unable to serve Nicole until May 18, 2022. (Id.) Nonetheless, Nicole failed to produce the requested documents or contact defense counsel regarding her appearance for a deposition. (Id.) On June 9, 2022, Defendants moved to compel Nicole to produce documents and appear for her deposition pursuant to Rule 45(d). (ECF No. 71.) This Court granted Defendants’ motion and subsequently issued a so-ordered subpoena for Nicole to appear for a deposition and to produce the requested documents on October 20, 2022. (ECF Nos. 84 and 87.) Defendants attempted to serve Nicole three times with the Court’s decision and the so-ordered subpoena, but her evasive behavior continued. (See ECF Nos. 94 and 94-5.) Ultimately, Defendants

effectuated service on Nicole pursuant to “nail and mail” service as permitted under New York State Law. (ECF Nos. 90-92, 94, and 94-5.) Nicole was served at the address Plaintiff affirmed was Nicole’s address at Plaintiff’s June 14, 2022 deposition. (See ECF No. 94-6.) Nicole failed to appear for her scheduled deposition and did not produce any of the requested documents. (ECF No. 94.) On November 10, 2022, Defendants filed a motion for contempt. (ECF No. 94.) Pursuant to Court order, Defendants served a copy of the motion for contempt on Nicole by First Class Mail, FedEx Overnight Delivery, and by “nail and mail” service. (ECF Nos. 95-97.) Neither Nicole nor Plaintiff filed a response. On March 24, 2023, the undersigned issued a sua sponte Report & Recommendation

finding that (1) the order for Nicole to appear for her deposition and produce the required relevant documents was “clear and unambiguous”; (2) there was clear proof of her non- compliance; and (3) she was not diligent in attempting to appear for the deposition and indeed had not contacted Defendants’ counsel’s office to reschedule the deposition, adjourn the document production deadlines, or otherwise move to quash the subpoena. (ECF No. 98.) The undersigned recommended that “unless Nicole demonstrate[d] good cause in writing by a date convenient to the Court, the Court should hold Nicole in contempt for her failure to comply with the Court’s order to appear at her deposition and produce the requested documents.” (Id. at 5.) Chief Judge Margo K. Brodie subsequently ordered Nicole to show cause within thirty days as to why she should not be held in contempt for failure to comply with the Court’s order to appear for a deposition and produce documents. (ECF No. 100.) Both the Report & Recommendation and Judge Brodie’s Order were served on Nicole. (ECF Nos. 99 and 101.) Nicole neither filed an objection to the Report & Recommendation nor a response to Judge Brodie’s Order to Show

Cause. On September 7, 2023, Defendants filed a status report detailing that Nicole’s deposition was still outstanding and requested assistance in enforcing the subpoena concerning her deposition and production of documents. (ECF No. 103.) On October 17, 2023, the Hon. Orelia E. Merchant1 ordered Nicole to contact Defendants’ counsel to schedule a date for her deposition by November 16, 2023 and respond to Judge Brodie’s order to show cause by November 16, 2023. (ECF No. 104.) Nicole was forewarned that failure to respond could result in an imposition of contempt and/or monetary sanctions. (Id.) In accordance with the Judge Merchant’s Order requiring service of documents upon Nicole, Defendants filed proof of service of Judge Brodie’s and Judge Merchant’s orders and stated that service was effectuated upon a

“Jane Doe” who refused to identify herself. (ECF No. 105.) On November 1, 2023, the undersigned held a status conference with the parties and extended the close of all discovery to November 17, 2023 in light of Nicole’s pending deposition. (ECF No. 106.) Judge Merchant subsequently ordered that Defendants are directed to file a letter as to whether Nicole contacted counsel to schedule her deposition. (Electronic Order dated Nov. 17, 2023.) Defendants filed a report requesting the Nicole be found in contempt and impose monetary sanctions against her for her failure to comply with Judge Merchant’s Order. (ECF No. 107.) Counsel further stated that on November 15, 2023, Nicole

1 This case was reassigned from Judge Brodie to Judge Merchant on December 1, 2023. (ECF No. 111.) emailed counsel claiming she was never served and requested they email the information being requested. (Id.) Counsel responded that day and sent Nicole the subpoena and court orders and a request for her availability for a deposition. (Id.) However, Nicole did not respond or provide her availability, even despite counsel’s subsequent attempts to contact her. (Id.) Judge Merchant

later adopted the undersigned’s Report and Recommendation, finding Nicole in contempt, noting that Nicole was given clear notice of the scheduled depositions. (ECF No. 108.) Judge Merchant further ordered that Nicole shall be assessed a $250-per-diem fine beginning on the day after Defendants serve Nicole Roytlender with a copy of this Order.

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Roytlender v. D. Malek Realty, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/roytlender-v-d-malek-realty-llc-nyed-2024.