WNY Maritime Charter School v. Kreyco Inc., d/b/a Language Learning Network

District Court, W.D. New York·Decided August 19, 2026·No. 1:25-cv-00453·Unknown

Opinion

UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF NEW YORK WNY MARITIME CHARTER SCHOOL, } Plaintiff, v. Case No. 1:25-cv-00453-GWC KREYCO INC,, d/b/a LANGUAGE LEARNING NETWORK, ) Defendant. ORDER ON MOTION TO DISMISS (Doc. 8) On April 30, 2025, WNY Maritime Charter School (the “Schoo!”) filed suit in New York state court against its vendor Kreyco Inc., d/b/a Language Learning Network (“LLN”) for breach of contract, unjust enrichment, breach of the implied covenant of good faith and fair dealing, and other theories.’ The allegations in the complaint concern LLN’s conduct in spring 2025 and its decision in April 2025—before the end of the school year—to cease providing language instructors at the School. (See Doc, 1-1.) After removing the case to this court (Doc. 1), defendant LLN filed a motion (Doc. 8) seeking dismissal on two grounds: (1) forum non conveniens based on a forum-selection clause that appears in the parties’ agreement; and (2) the forum-shopping exception to the first-filed venue rule. According to LLN, the action should proceed in the case that LLN filed against the School in the District of New Tersey on May 23, 2025: Kreyco Inc. v. Western New York Maritime School, No. 2:25-cv-5434 (D.N.J.), The School opposes the motion (Dec. 10), and LLN has filed a reply (Doc. 11).

' Including a claim for denial of the School’s students’ rights to an education as guaranteed by the New York State Constitution. (Doc. 1-1 at 11, 765.)

Background LLN’s motion is brought under Fed. R. Civ. P. 12(b)(6), which ordinarily precludes the court’s consideration of materials outside the pleadings. See Fed. R. Civ. P. 12(d); see also, e.g., LaBounty v. Adler, 933 F.2d 121, 123 (2d Cir. 1991) (“Rule 12(b)(6) does not give the district court authority to consider matters outside the pleadings; it simply delineates the procedures which must be followed in testing the legal sufficiency of a complaint.”}, However, the court can properly consider materials outside of the pleadings in addressing the aspect of LLN’s motion based on the forum non conveniens doctrine. Aguas Lenders Recovery Grp. v. Suez, □□□□□ 585 F.3d 696, 697 n.1 (2d Cir. 2009), Similarly, this court has analyzed “first-filed-rule” or “prior pending action” arguments under Fed. R. Civ. P. 12(b)(3), which likewise permits consideration of extra-pleading materials. Lux v. Hultquist, No. 24-CV-783, 2026 WL 879185, at *6 & 0.10 (W.D.N.Y. Mar. 31, 2026) (noting that the first-filed inquiry is a venue issue; citing N.Y. Marine & Gen. Ins. Co. v. Lafarge N. Am., Inc., 599 F.3d 102, 112 (2d Cir. 2010)); Pro-Fac Coop., Ine, v, Alpha Nursery, Inc., 205 F. Supp. 2d 90, 94 n.1 (W.D.N.Y, 2002) (analysis under Rule 12(b)(3) “permits the district court to consider facts outside the pleadings”). The following facts are therefore drawn from the court’s review of the pleadings and the additional materials that the parties have presented,

. The Parties and Their Agreements WNY Maritime Charter School is a New York education corporation that operates a charter school in Buffalo, New York. (Doc. 1-1 at 4, 1; id. at 5,6.) LILN is a New Jersey corporation that “partners with public and private schools across the country to provide access to qualified language instructors.” (Sean Kreyling Aff., Doc. 8-3 | 2; see also Doc. 1-1 at 5,4 7.) In November 2023, the School and LLN entered into a services agreement under which LLN

agreed to provide Spanish language instruction at the School for the 2023-2024 school year. (Doc. 8-3 73.) The School and LLN entered into another services agreement dated March 19, 2024, effective that date through June 30, 2025. (Doc. 1-1 at 17-18.) Under that agreement for the 2024-2025 school year, LLN (as the “Vendor”} agreed to provide “weekly onsite instructional services, consisting of 1 Teacher” to teach “Spanish/ESL” at the School. Ud. at 22.) The School agreed to pay a total of $108,000 to LLN for these services. (/d. at 17, 22.) The 2024 agreement also included the following terms: 9, Suspension of Services. If School breaches any term(s) of this Agreement, Vendor has the right to suspend delivery of Services until School has cured such breach(es} to Vendor’s reasonable satisfaction. Vendor must provide School at least ten (10) days’ advance written notice prior to suspending Services (“Suspension Notice”). ... 10. Termination. This Agreement may be terminated as follows: (a) upon the natural expiration of the Term, provided that one of the parties has issued a timely Renewal Termination Notice, in accordance with the terms herein; (b) by School upon thirty (30) days’ prior written notice to Vendor; or (c) by Vendor in the event School fails to cure a breach within thirty (30) days’ receipt of a Suspension Notice, 11. Stipulated Damages. In the event... Vendor exercises its right to terminate under Section 10(c), School surrenders its claim to any and all refunds or financial credits and shall be responsible for all remaining monthly payments .. . in addition to any and all past due invoices and any fees or costs payable to Vendor.... 17. Non-Solicitation, During the Term of this Agreement, including any and all renewal terms, and for a period of one (1) year thereafter (the “No Hire Period”), neither School nor any affiliate, agent, or representative thereof shall, directly or indirectly, hire, contract, or solicit for employment, contract, or engagement, or cause or attange for another individual or entity to hire, contract, or solicit for employment, contract, or engagement, any person who is or was a Teacher contracted or employed by Vendor to perform Services during the Term of this Agreement. School agrees that the covenant contained in this paragraph is reasonable in all respects. In the event this provision is violated or breached, Vendor shall be entitled to immediate injunctive relief against School, its affiliates, and/or agents, prohibiting further actions in violation of the terms herein, and School shall pay Vendor $108,000.00 per violation as liquidated damages. This amount is not a penalty and represents the value of Vendor’s economic loss of one (1) Teacher, The Parties hereby acknowledge that payment of these liquidated

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WNY Maritime Charter School v. Kreyco Inc., d/b/a Language Learning Network, (W.D.N.Y. 2026).

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