Preview
At IAS Part 32 of the Supreme Court of the
State of New York, held in and for the County
of New York at the Courthouse located at 111
Centre Street, New York, New York, on the
____ day of ________ , 2021.
PRESENT: HON. FRANCIS A. KAHN III
JUSTICE OF THE SUPREME COURT
-------------------------------------------------------------X
HILTON RESORTS CORPORATION,
Index No.: 850133/2018
Plaintiff,
JUDGMENT OF FORELCOSURE
-against- AND SALE
GIOVANNI FRABASILE and HELEN PASEK,
Defendants.
-------------------------------------------------------------X
UPON the Summons, Complaint, and Notice of Pendency filed in this action on May 11,
2018, the Notice of Motion dated July 21, 2021, the affirmation by Brian A. Campbell, Esq., the
affidavit of merit and amount due by Ileana Gonzalez who is Portfolio Services Supervisor of
Plaintiff, duly sworn to on November 21, 2019, together with the exhibits annexed thereto, all in
support of Plaintiff’s motion for a Judgment of Foreclosure and Sale; and
Upon proof that each of the defendants herein have been duly served with the Summons
and Complaint in this action, and have not served any answer to the Complaint or otherwise
appeared, nor had their time to do so extended; and its appearing that more than the legally required
number of days has elapsed since defendants were so served; and Plaintiff having established to
the court’s satisfaction that a judgment against defendants is warranted; and
Upon Plaintiff’s showing pursuant to RPAPL 1321(2) that defendants are not absent; and
a Referee having been appointed to compute the amount due to Plaintiff upon the bond/note and
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mortgage set forth in the Complaint and to examine whether the mortgaged property can be sold
in parcels; and
Upon reading the report of the Referee, Paul Sklar, Esq. who was appointed to calculate
the amount due to Plaintiff, which found the amount due to be $40.096.38 as of November 19,
2019, and that the fractional timeshare interest in the property may not be sold in parcels;
Upon proof of due notice of this motion upon all parties entitled to receive such notice; and
upon all the prior proceedings and papers filed herein, it is hereby
ORDERED and ADJUDGED that the motion by plaintiff to confirm the Referee’s report
and for a judgment of foreclosure and sale is granted without opposition; and it is further
ORDERED that the mortgaged property described in the complaint and as described in this
judgment, or such part therefore as may be sufficient to discharge the mortgage debt, the expense
of sale and the costs of this action as provided in the RPAPL be sold within 90 days of this
judgment, in one parcel, at a public auction at the New York County Courthouse located at 60
Centre Street, New York, New York under the direction of Paul Sklar, Esq. who is appointed
Referee for this purpose; and it is further
ORDERED that the Referee shall give public notice of the time and place of sale in
accordance with RPAPL 231(2) in the following publication __________________________; and
the referee need not conduct the sale unless Plaintiff shall provide the referee with proof of
publication of the notice of sale, and if the sale is adjourned due to plaintiff’s failure to provide
such proof, then said adjournment shall not be considered at the referee’s request; and it is further
ORDERED that by accepting this appointment the Referee certifies that she/he is in
compliance with Part 36 of the Rules of the Chief Judge (22 NYCRR Part 36), including, but not
limited to §36.2 (c) (“Disqualifications from appointment”), and §36.2 (d) (“Limitations on
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appointments based upon compensation”), and, if the Referee is disqualified from receiving an
appointment pursuant to the provisions of that Rule, the Referee shall immediately notify the
Appointing Judge; and it is further
ORDERED that the Referee is prohibited from accepting or retaining any funds for
herself/himself or paying funds to him/herself without compliance with Part 36 of the Rules of the
Chief Administrative Judge; and it is further
ORDERED that the Referee shall conduct the foreclosure sale only if Plaintiff, its
successors and/or assignees or its representatives is present at the sale or the Referee has received
a written bid and Terms of Sale from Plaintiff, its successors and/or assigns, or its representatives;
and it is further
ORDERED that if the Referee cannot conduct the sale within 90 days of the date of this
judgment, plaintiff must make a motion to extend the time to sell the subject property explaining
the reasons for the delay; and it is further
ORDERED that at the time of sale the Referee may accept a written bid from the Plaintiff
or the Plaintiff’s attorney, just as though Plaintiff were physically present to submit said bid; and
it is further
ORDERED that the Referee shall accept the highest bid offered by a bidder who shall be
identified upon the court record, and shall require that the successful bidder immediately execute
Terms of Sale for the purchase of the property, and pay to the Referee in cash, certified check or
bank check, ten percent (10%) of the said bid, unless the successful bidder is Plaintiff, in which
case no deposit against the purchase process shall be required; and it is further
ORDERED that notwithstanding the previous paragraph, the Referee shall have the right
to refuse cash payments and require a bank or certified check from the successful bidder and the
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Referee shall be entitled to qualify bidders and require bidders to show proof of funds before or
during the auction; and it is further
ORDERED that in the event the first successful bidder fails to execute the Terms of Sale
or fails to immediately pay the ten percent (10%) deposit as required, the property shall be
immediately reoffered at auction on the same day, and it is further
ORDERED that the Referee shall deposit the down payment and proceeds of sale, as
necessary in an FDIC-insured bank where the Referee has an account for that purpose in
accordance with CPLR 2609; and it is further
ORDERED that after the property is sold, the Referee shall execute a deed to the purchaser
in accordance with RPAPL 1353 and the terms of sale (which shall be deemed a binding contract);
and it is further
ORDERED that in the event a party other than Plaintiff becomes the purchaser at the sale,
the closing of title shall be held no later than 30 days after the date of such sale unless otherwise
stipulated by all parties to the sale and the Referee; and it is further
ORDERED that, pursuant to RPAPL 1353(1), if Plaintiff (or its affiliate as defined in
paragraph [a] of the subdivision one of section six-1 of the banking law) is the purchaser, the
property shall be placed back on the market for sale or other occupancy within 180 days of the
execution of the deed of sale or within 90 days of construction, renovation, or rehabilitation of the
property, provided that such construction, renovation or rehabilitation proceeded diligently to
completion, whichever comes first, provided that this court grants an extension upon a showing of
good cause; and it is further
ORDERED that the Referee, after receiving the proceeds of sale, shall pay (from the
proceeds) the taxes, assessments, sewer rents, or water rates, which are, or may, become liens on
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the property, in accordance with their priority according to law with such interest or penalties
which may have lawfully accrued thereon to the date of payment; and it is further
ORDERED that the Referee shall deposit the balance of the proceeds from the sale in
his/her own name as Referee in an FDIC-insured bank where the Referee has an account for that
purpose and shall make the following payments in accordance with RPAPL 1354:
1. The Referee’s fees for conducting the sale, which are $750. Plaintiff shall compensate the
Referee in the sum of $350 for each adjournment or cancellation made no less than two
business days’ notice unless the Referee caused the delay.
2. All taxes, assessments and water rates that are liens upon the property and monies
necessary to redeem the property from any sales for unpaid taxes, assessments or water
rates and any other amounts due in accordance with RPAPL 1354(2). The purchaser shall
be responsible for interest and penalties accrued after the sale. The Referee shall not be
responsible for the payment of penalties or fees pursuant to this appointment. The
purchaser shall hold the Referee harmless from any such penalties or fees assessed;
3. The expenses of the sale and the advertising expenses as shown on the bills presented and
certified by the Referee to be correct, copies of which shall be annexed to the report of sale.
4. The Referee shall also pay to the Plaintiff or its attorneys the following:
a. Amount Due from the Referee’s Report $40,096.38 (with interest at the note rate
of 15.67% from November 19, 2019, until the date of this judgment), together with
any advances as provided for in the note and mortgage which Plaintiff had made
pending consummation of the foreclosure sale, not included in the computation,
upon presentation of receipts for said expenditures to the Referee, together with
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interest pursuant to the note and mortgage and then with interest from the date of
entry of this judgment at the statutory rate until the date the deed is transferred;
b. Costs and Disbursements: $1,670.00 to Plaintiff for costs and disbursements in this
action with interest at the statutory judgment rate from the date of entry of
judgment;
5. Surplus monies from the sale shall be paid into Court by the Referee within five days after
receipt in accordance with RPAPL 1354(4) and proof of said deposit shall be uploaded to
NYSCEF within two days thereafter; and it is further
ORDERED that if Plaintiff is the purchaser of the property, or in the event that the rights
of the purchasers at the sale and the terms of sale under this judgment shall be assigned to or be
acquired by Plaintiff, and a valid assignment is filed with the Referee, the Referee shall not require
Plaintiff to pay in cash the entire amount bid at sale, but shall execute and deliver to Plaintiff or its
assignee, a deed or deeds of the property sold upon the payment to said Referee of the amounts
specified as 1, 2, and 3 above, and the Referee shall allow Plaintiff to pay the amounts specified
in 2 and 3 above when it is recording the deed; that the balance of the bid, after deducting the
amounts paid by Plaintiff shall be applied to the amount due to Plaintiff as specified in 4 above;
that Plaintiff shall pay any surplus after applying the balance of the bid to the Referee, who shall
deposit it in accordance with 5 above; and it is further
ORDERED that all expenses of recording the Referee’s deed, including real property
transfer taxes, which is not a lien upon the property at the time of sale, shall be paid by the
purchaser, not by the Referee from sale proceeds, and that any transfer tax shall be paid in
accordance with Tax Law § 1404; and it is further
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ORDERED that Plaintiff may seek to recover a deficiency judgment against defendants in
accordance with RPAPL 1371 if applicable; and it is further
ORDERED that the property is sold in one parcel in “as is” physical order and condition,
subject to any condition that an inspection of the property would disclose; any facts that an accurate
survey of the property would show; any covenants, restrictions, declarations, reservations,
easements, right of way, and public utility agreements of record, if any; any building and zoning
ordinances of the municipality in which the mortgaged property is located and possible violations
of same; any rights of tenants or persons in possession of the subject property; prior liens of record,
if any, except those liens addressed in RPAPL 1354, any equity of redemption of the United States
of America to redeem the property within 120 days from the date of sale, any rights pursuant to
CPLR 317, 2003 and 5015 or any appeal of the underlying action or additional litigation brought
by any defendant or its successor or assignee contesting the validity of this foreclosure; and it is
further
ORDERED that the purchaser be let into possession of the property upon production in
hand of the Referee’s Deed or upon personal service of the Referee’s deed in accordance with
CPLR 308; and it is further
ORDERED that defendants in this action and persons claiming through them and any
person obtaining an interest in the property after the Notice of Pendency are barred and foreclosed
of all right, claim, lien, title, and interest in the property after the sale of the mortgaged property;
and it is further
ORDERED that within 14 days after completing the sale and executing the proper
conveyance to the purchaser, the Referee shall file with the clerk a report under oath of the
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disposition of the proceeds of the sale and upload the report to NYSCEF if it is an e-filed case; and
it is further
ORDERED that if the purchaser or purchasers at said sale default upon the bid or terms of
sale, the Referee may place the property for resale without prior application to this Court unless
Plaintiff’s attorney elect to make such an application; and it is further
ORDERED that Plaintiff shall serve a copy of this judgment with notice of entry upon the
owner of the equity of redemption, any tenants named in this action, and any other parties entitled
to service, including the Referee appointed herein; and it is further
ORDERED that nothing herein shall be deemed to relieve Plaintiff of any obligation
imposed by RPAPL 1307 or 1308 to secure and maintain the property until ownership of the
property has been transferred and deed duly recorded; and it is further
ORDERED that when the Referee files a report of sale, she or he shall also file a
Foreclosure Action Surplus Monies Form and also upload this document to NYSCEF; and it is
further
ORDERED that Plaintiff shall file a written report with the Court (via NYSCEF) within 5
months from the date of this judgment stating whether the sale has occurred and, if applicable, the
outcome of the sale; and it is further
ORDERED that the Referee shall e-mail Tamika Wright (twright@nycourts.gov) to inform
the Court about the auction date; and it is further
ORDERED that, without order of the Court, the referee shall be entitled to an additional
fee of $950 for conducting and attending a closing with a purchaser other than Plaintiff, plus, if
such a closing is scheduled for a referee’s conference room, then the referee shall be entitled to a
reasonable fee for use thereof, without further order of the Court.
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A description of the time share unit, the mortgaged premises, is more particularly described
in the annexed Exhibit A.
ENTER,
____________________________________
Justice of the Supreme Court
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Preview
At IAS Part 32 of the Supreme Court of the State of New York, held in and for the County of New York at the Courthouse located at 111 Centre Street, New York, New York, on the ____ day of ________ , 2021. PRESENT: HON. FRANCIS A. KAHN III JUSTICE OF THE SUPREME COURT -------------------------------------------------------------X HILTON RESORTS CORPORATION, Index No.: 850133/2018 Plaintiff, JUDGMENT OF FORELCOSURE -against- AND SALE GIOVANNI FRABASILE and HELEN PASEK, Defendants. -------------------------------------------------------------X UPON the Summons, Complaint, and Notice of Pendency filed in this action on May 11, 2018, the Notice of Motion dated July 21, 2021, the affirmation by Brian A. Campbell, Esq., the affidavit of merit and amount due by Ileana Gonzalez who is Portfolio Services Supervisor of Plaintiff, duly sworn to on November 21, 2019, together with the exhibits annexed thereto, all in support of Plaintiff’s motion for a Judgment of Foreclosure and Sale; and Upon proof that each of the defendants herein have been duly served with the Summons and Complaint in this action, and have not served any answer to the Complaint or otherwise appeared, nor had their time to do so extended; and its appearing that more than the legally required number of days has elapsed since defendants were so served; and Plaintiff having established to the court’s satisfaction that a judgment against defendants is warranted; and Upon Plaintiff’s showing pursuant to RPAPL 1321(2) that defendants are not absent; and a Referee having been appointed to compute the amount due to Plaintiff upon the bond/note and {Firm/727/00581/MOTIONS/03152986.DOCX } mortgage set forth in the Complaint and to examine whether the mortgaged property can be sold in parcels; and Upon reading the report of the Referee, Paul Sklar, Esq. who was appointed to calculate the amount due to Plaintiff, which found the amount due to be $40.096.38 as of November 19, 2019, and that the fractional timeshare interest in the property may not be sold in parcels; Upon proof of due notice of this motion upon all parties entitled to receive such notice; and upon all the prior proceedings and papers filed herein, it is hereby ORDERED and ADJUDGED that the motion by plaintiff to confirm the Referee’s report and for a judgment of foreclosure and sale is granted without opposition; and it is further ORDERED that the mortgaged property described in the complaint and as described in this judgment, or such part therefore as may be sufficient to discharge the mortgage debt, the expense of sale and the costs of this action as provided in the RPAPL be sold within 90 days of this judgment, in one parcel, at a public auction at the New York County Courthouse located at 60 Centre Street, New York, New York under the direction of Paul Sklar, Esq. who is appointed Referee for this purpose; and it is further ORDERED that the Referee shall give public notice of the time and place of sale in accordance with RPAPL 231(2) in the following publication __________________________; and the referee need not conduct the sale unless Plaintiff shall provide the referee with proof of publication of the notice of sale, and if the sale is adjourned due to plaintiff’s failure to provide such proof, then said adjournment shall not be considered at the referee’s request; and it is further ORDERED that by accepting this appointment the Referee certifies that she/he is in compliance with Part 36 of the Rules of the Chief Judge (22 NYCRR Part 36), including, but not limited to §36.2 (c) (“Disqualifications from appointment”), and §36.2 (d) (“Limitations on {Firm/727/00581/MOTIONS/03152986.DOCX } appointments based upon compensation”), and, if the Referee is disqualified from receiving an appointment pursuant to the provisions of that Rule, the Referee shall immediately notify the Appointing Judge; and it is further ORDERED that the Referee is prohibited from accepting or retaining any funds for herself/himself or paying funds to him/herself without compliance with Part 36 of the Rules of the Chief Administrative Judge; and it is further ORDERED that the Referee shall conduct the foreclosure sale only if Plaintiff, its successors and/or assignees or its representatives is present at the sale or the Referee has received a written bid and Terms of Sale from Plaintiff, its successors and/or assigns, or its representatives; and it is further ORDERED that if the Referee cannot conduct the sale within 90 days of the date of this judgment, plaintiff must make a motion to extend the time to sell the subject property explaining the reasons for the delay; and it is further ORDERED that at the time of sale the Referee may accept a written bid from the Plaintiff or the Plaintiff’s attorney, just as though Plaintiff were physically present to submit said bid; and it is further ORDERED that the Referee shall accept the highest bid offered by a bidder who shall be identified upon the court record, and shall require that the successful bidder immediately execute Terms of Sale for the purchase of the property, and pay to the Referee in cash, certified check or bank check, ten percent (10%) of the said bid, unless the successful bidder is Plaintiff, in which case no deposit against the purchase process shall be required; and it is further ORDERED that notwithstanding the previous paragraph, the Referee shall have the right to refuse cash payments and require a bank or certified check from the successful bidder and the {Firm/727/00581/MOTIONS/03152986.DOCX } Referee shall be entitled to qualify bidders and require bidders to show proof of funds before or during the auction; and it is further ORDERED that in the event the first successful bidder fails to execute the Terms of Sale or fails to immediately pay the ten percent (10%) deposit as required, the property shall be immediately reoffered at auction on the same day, and it is further ORDERED that the Referee shall deposit the down payment and proceeds of sale, as necessary in an FDIC-insured bank where the Referee has an account for that purpose in accordance with CPLR 2609; and it is further ORDERED that after the property is sold, the Referee shall execute a deed to the purchaser in accordance with RPAPL 1353 and the terms of sale (which shall be deemed a binding contract); and it is further ORDERED that in the event a party other than Plaintiff becomes the purchaser at the sale, the closing of title shall be held no later than 30 days after the date of such sale unless otherwise stipulated by all parties to the sale and the Referee; and it is further ORDERED that, pursuant to RPAPL 1353(1), if Plaintiff (or its affiliate as defined in paragraph [a] of the subdivision one of section six-1 of the banking law) is the purchaser, the property shall be placed back on the market for sale or other occupancy within 180 days of the execution of the deed of sale or within 90 days of construction, renovation, or rehabilitation of the property, provided that such construction, renovation or rehabilitation proceeded diligently to completion, whichever comes first, provided that this court grants an extension upon a showing of good cause; and it is further ORDERED that the Referee, after receiving the proceeds of sale, shall pay (from the proceeds) the taxes, assessments, sewer rents, or water rates, which are, or may, become liens on {Firm/727/00581/MOTIONS/03152986.DOCX } the property, in accordance with their priority according to law with such interest or penalties which may have lawfully accrued thereon to the date of payment; and it is further ORDERED that the Referee shall deposit the balance of the proceeds from the sale in his/her own name as Referee in an FDIC-insured bank where the Referee has an account for that purpose and shall make the following payments in accordance with RPAPL 1354: 1. The Referee’s fees for conducting the sale, which are $750. Plaintiff shall compensate the Referee in the sum of $350 for each adjournment or cancellation made no less than two business days’ notice unless the Referee caused the delay. 2. All taxes, assessments and water rates that are liens upon the property and monies necessary to redeem the property from any sales for unpaid taxes, assessments or water rates and any other amounts due in accordance with RPAPL 1354(2). The purchaser shall be responsible for interest and penalties accrued after the sale. The Referee shall not be responsible for the payment of penalties or fees pursuant to this appointment. The purchaser shall hold the Referee harmless from any such penalties or fees assessed; 3. The expenses of the sale and the advertising expenses as shown on the bills presented and certified by the Referee to be correct, copies of which shall be annexed to the report of sale. 4. The Referee shall also pay to the Plaintiff or its attorneys the following: a. Amount Due from the Referee’s Report $40,096.38 (with interest at the note rate of 15.67% from November 19, 2019, until the date of this judgment), together with any advances as provided for in the note and mortgage which Plaintiff had made pending consummation of the foreclosure sale, not included in the computation, upon presentation of receipts for said expenditures to the Referee, together with {Firm/727/00581/MOTIONS/03152986.DOCX } interest pursuant to the note and mortgage and then with interest from the date of entry of this judgment at the statutory rate until the date the deed is transferred; b. Costs and Disbursements: $1,670.00 to Plaintiff for costs and disbursements in this action with interest at the statutory judgment rate from the date of entry of judgment; 5. Surplus monies from the sale shall be paid into Court by the Referee within five days after receipt in accordance with RPAPL 1354(4) and proof of said deposit shall be uploaded to NYSCEF within two days thereafter; and it is further ORDERED that if Plaintiff is the purchaser of the property, or in the event that the rights of the purchasers at the sale and the terms of sale under this judgment shall be assigned to or be acquired by Plaintiff, and a valid assignment is filed with the Referee, the Referee shall not require Plaintiff to pay in cash the entire amount bid at sale, but shall execute and deliver to Plaintiff or its assignee, a deed or deeds of the property sold upon the payment to said Referee of the amounts specified as 1, 2, and 3 above, and the Referee shall allow Plaintiff to pay the amounts specified in 2 and 3 above when it is recording the deed; that the balance of the bid, after deducting the amounts paid by Plaintiff shall be applied to the amount due to Plaintiff as specified in 4 above; that Plaintiff shall pay any surplus after applying the balance of the bid to the Referee, who shall deposit it in accordance with 5 above; and it is further ORDERED that all expenses of recording the Referee’s deed, including real property transfer taxes, which is not a lien upon the property at the time of sale, shall be paid by the purchaser, not by the Referee from sale proceeds, and that any transfer tax shall be paid in accordance with Tax Law § 1404; and it is further {Firm/727/00581/MOTIONS/03152986.DOCX } ORDERED that Plaintiff may seek to recover a deficiency judgment against defendants in accordance with RPAPL 1371 if applicable; and it is further ORDERED that the property is sold in one parcel in “as is” physical order and condition, subject to any condition that an inspection of the property would disclose; any facts that an accurate survey of the property would show; any covenants, restrictions, declarations, reservations, easements, right of way, and public utility agreements of record, if any; any building and zoning ordinances of the municipality in which the mortgaged property is located and possible violations of same; any rights of tenants or persons in possession of the subject property; prior liens of record, if any, except those liens addressed in RPAPL 1354, any equity of redemption of the United States of America to redeem the property within 120 days from the date of sale, any rights pursuant to CPLR 317, 2003 and 5015 or any appeal of the underlying action or additional litigation brought by any defendant or its successor or assignee contesting the validity of this foreclosure; and it is further ORDERED that the purchaser be let into possession of the property upon production in hand of the Referee’s Deed or upon personal service of the Referee’s deed in accordance with CPLR 308; and it is further ORDERED that defendants in this action and persons claiming through them and any person obtaining an interest in the property after the Notice of Pendency are barred and foreclosed of all right, claim, lien, title, and interest in the property after the sale of the mortgaged property; and it is further ORDERED that within 14 days after completing the sale and executing the proper conveyance to the purchaser, the Referee shall file with the clerk a report under oath of the {Firm/727/00581/MOTIONS/03152986.DOCX } disposition of the proceeds of the sale and upload the report to NYSCEF if it is an e-filed case; and it is further ORDERED that if the purchaser or purchasers at said sale default upon the bid or terms of sale, the Referee may place the property for resale without prior application to this Court unless Plaintiff’s attorney elect to make such an application; and it is further ORDERED that Plaintiff shall serve a copy of this judgment with notice of entry upon the owner of the equity of redemption, any tenants named in this action, and any other parties entitled to service, including the Referee appointed herein; and it is further ORDERED that nothing herein shall be deemed to relieve Plaintiff of any obligation imposed by RPAPL 1307 or 1308 to secure and maintain the property until ownership of the property has been transferred and deed duly recorded; and it is further ORDERED that when the Referee files a report of sale, she or he shall also file a Foreclosure Action Surplus Monies Form and also upload this document to NYSCEF; and it is further ORDERED that Plaintiff shall file a written report with the Court (via NYSCEF) within 5 months from the date of this judgment stating whether the sale has occurred and, if applicable, the outcome of the sale; and it is further ORDERED that the Referee shall e-mail Tamika Wright (twright@nycourts.gov) to inform the Court about the auction date; and it is further ORDERED that, without order of the Court, the referee shall be entitled to an additional fee of $950 for conducting and attending a closing with a purchaser other than Plaintiff, plus, if such a closing is scheduled for a referee’s conference room, then the referee shall be entitled to a reasonable fee for use thereof, without further order of the Court. {Firm/727/00581/MOTIONS/03152986.DOCX } A description of the time share unit, the mortgaged premises, is more particularly described in the annexed Exhibit A. ENTER, ____________________________________ Justice of the Supreme Court {Firm/727/00581/MOTIONS/03152986.DOCX }