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JUSTIN PENN (SBN CA
jpenn@hinshawlaw.com
SARA E. FRANKS (SBN 345940)
sfranks@hinshawlaw.com
HINSHAW & CULBERTSON LLP
350 South Grand Ave., Suite 3600
Los Angeles, CA 90071-3402
Telephone: 213-680-2800
Facsimile: 213-614-7399
Attorneys for Plaintiff and Cross Defendant Velocity
Investments, LLC and Cross-Defendant Velocity Portfolio
Group, Inc.
SUPERIOR COURT OF THE STATE OF CALIFORNIA
COUNTY OF SANTA CLARA
VELOCITY INVESTMENTS, LLC Case No. 16CV300096
Plaintiff Assigned to: Dept. 19, The Honorable
Theodore C. Zayner
vs.
SEPARATE STATEMENT OF
MARIA CANUL, UNDISPUTEDMATERIAL FACTS AND
SUPPORTING EVIDENCEIN SUPPORT
Defendant OF CROSS DEFENDANTS’MOTION
FOR SUMMARY JUDGMENT AS TO
CROSS COMPLAINANT MARIA
CANUL’S FIRST AMENDED CLASS
ACTION CROSS COMPLAINT
MARIA CANUL
Notice of Motion, Memorandum of Points
Cross-Complainant, and Authorities, Compendium of
Documentary Evidence, Declaration of
vs. Deanna SgroRequest for Judicial Notice,
and [Proposed] Order concurrently filed
VELOCITY INVESTMENTS, LLC, a New herewith.]
Jersey limited liability company; VELOCITY
PORTFOLIO GROUP, INC., a Delaware
corporation; and ROES 2 through 10, inclusive, Date: October 25, 2023
Time: 1:30 p.m.
Cross Defendants. Dept.: 19
Complaint Filed: September 20, 2016
HINSHAW & CULBERTSON
350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE
Los Angeles, CA 90071
2800 1045141 314181383.v1
Cross Defendants Velocity Investments, LLC(“VI”) and Velocity Portfolio Group, Inc.
(collectively, “Velocity” or “Cross Defendants”) hereby submit the following Separate Statement
of Undisputed Facts and Supporting Evidence in support of its Motion for Summary Judgment as
to Cross Complainant Maria Canul’s (“Canul” or “Cross Complainant”) First Amended Class
Action Cross Complaint.
CROSS COMPLAINANT LACKS STANDING TO SUE AS SHE IS NOT
BENEFICIALLY INTERESTED IN THIS MATTER
UNDISPUTED MATERIAL FACTS AND RESPONSE AND SUPPORTING
SUPPORTING EVIDENCE EVIDENCE
Cross Complainant gained a personal loan
or consumer credit account from LendingClub
Corporation (“LendingClub"between 2010
and 2012 that is the underlying basis of this
action.After couple of years, Canul ceased
making payments on the loan. The date of the
last payment was on or about August 13, 2014.
See Compendium of Documentary Evidence
(“Compendium”), Exhibit Deposition of
Maria Canul (“Canul Depo.”), 31:1 , 33:12
16; 37:7 Compendium, Exhibi
September20, 2016 Complaint for Money
(“Complaint for Money”), 3:5
. If she would have had a problem or
question on the account, she would have called
LendingClub.
See Canul Depo., 43:14
VI is a debt buyer who purchased Canul’s
consumer credit account and became the sole
owner of the debt at issue or gained the
authority to assert the rights of all owners of
the debt.
See Complaint for Money, 3:7
4. Cross Defendant VI has detailed litigation
policies that it follows prior to initiating a
lawsuit. These litigation policies are in place
to prevent violations of consumer protection
statutes and inform debtors of their rights as
required by the statutes.
HINSHAW & CULBERTSON
350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE
Los Angeles, CA 90071
2800 1045141 314181383.v1
See Declaration of Deanna Sgro(“Sgro
Decl.”), ¶¶ 3
VI filed a Complaint for Money against
Cross Complainant on September 20, 2016,
seeking payment of the remaining principal,
costs of suit, and any further relief the Court
deemed proper.
See generally, Complaint for Money
6. Canul does not dispute that she agreed to
the loan from LendingClub, received the loan,
and made payments on the loan.
See Canul Depo., 31 33:1
7. VI identified Canul as the Defendant and
provided her last known address per the
charge off creditor’s recordsin their
Complaint for Money.
See Complaint for Money, 4:4
Canul filed her First Amended Class Action
Cross Complaint on November 4, 2021
alleging violations of the CFDBPA.
See Compendium, Exhibit B, First Amended
Class Action Cross Complaint (“Cross
Complaint”).
9. Cross Complainant has stipulated that she is
not seeking any emotional distress or out
pocket pecuniary damages and has waived any
claim to actual damages recoverable.
See Canul Depo., 55:19 23; Compendium,
Exhibit E, Cross Complainant’s Response to
Cross Defendants’ Form Interrogatories, Set
One, No. 9.1; Compendium, Exhibit F, Cross
Complainant’s Response to Cross Defendants
Special Interrogatories, Set One, No. 3 .
10. Cross Complainant has admitted that the
alleged conduct and violations alleged in her
Cross Complaint did not affect her in any way
other than having “to go through this entire
process which is not an easy process.”
See Canul Depo., 56:16
11. Cross Complainant has represented that
HINSHAW & CULBERTSON
350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE
Los Angeles, CA 90071
2800 1045141 314181383.v1
she does not know the difference between LC
TRUST I and LendingClub and that her
knowledgeas to who LC TRUST I was came
from her attorneys and only arose during the
pendency of this case.
See Canul Depo., 35
12. Canul does not recall contacting
LendingClub, WebBank, or LC TRUST I after
receiving the Complaint for Money. Instead,
she testifies that she quickly contacted her
attorneyswho she had already contacted prior
to service, upon receipt of the Complaint for
Money
See Canul Depo., 37 38:1 7; 38: 4 ; 21:9
ANY ALLEGED VIOLATIONS AGAINST CROSS DEFENDANTS WERE
IMMATERIAL
UNDISPUTED MATERIAL FACTS AND RESPONSE AND SUPPORTING
SUPPORTING EVIDENCE EVIDENCE
13. Cross Defendants incorporate by reference
12 of this Separate Statement of
Undisputed Material Factsinto the following
factsCross Defendants additionally
incorporate e following facts into the facts
listed in ¶¶ 1 12 of this Separate Statement of
Undisputed Material Facts.
14. Canul’s address between 2005/2009 to
2018 was 25 South 15th Street, Number 2, San
Jose California 95112.
See Canul Depo., 9:8 23.
15. VI sent an initial demand letter to Maria
Canul on or about March 3, 2015 at her
current address at the time.
See Compendium, Exhibit C, March 3, 2015
Demand Letter from Velocity Investments,
LLC to Maria Canul (“Demand Letter”); Sgro
Decl. ¶ 5.
16. The Demand Letter informed Canul that
she had the right to dispute the debt and that,
upon written request, VI would provide her
with the name and address of the original
HINSHAW & CULBERTSON
350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE
Los Angeles, CA 90071
2800 1045141 314181383.v1
creditor if different from the current creditor.
See Demand Letter.
17. It also stated that if the debt was disputed,
that VI would provide verification of the debt.
See Demand Letter.
18. The Demand Letter contained VI’s name,
address, and contact information.
See Demand Letter.
19. VI intended for the disclosures in the
Demand Letter to provide Canul with
information on her rights as a debtor.
See Sgro Decl ¶ 6.
20. If a request was made to VI for
documentation on Canul’s debt, agreement to
the debt, or any other records requested, VI
would have been able to provide that
documentation.
See Sgro Decl , ¶ 7.
21. In the Complaint for Money, VI identified
the name and address of charge off creditor at
the time of charge off as LENDINGCLUB
CORPORATION, 71 Stevenson St. Suite 300,
San Francisco, CA 94105 and provided the
charge off creditor’s account number.
See Complaint for Money, 4:1
22. VI understood LENDINGCLUB
CORPORATION to be the charge off creditor
at the time of charge off when it filed its
Complaint for Money.
See Sgro Decl., ¶ 8.
23. VI alleged that they complied with
California Civil Code
See Complaint for Money, 4:9.
24. VI attached a Truth in Lending Disclosure
Statement to the Complaint for Money and
identified it as a copy of the document
described by California Civil Code §
1788.52(b).
HINSHAW & CULBERTSON
350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE
Los Angeles, CA 90071
2800 1045141 314181383.v1
See Complaint for Money, 4:10 Exh. A.
25. The Truth in Lending Disclosure
Statement identified Canul as the borrower,
identified the annual percentage rate, finance
charge, amount financed, total of payments,
number of payments, when payments were
due, the payment policy, and a mean
estimate. It also referenced LendingClub
Corporation and identified its address.
See Complaint for Money, Exh. A.
26. VI attached the Truth in Lending
Disclosure Statement to the Complaint for
Money to comply with Cal. Civ. Code §
1788.52(b) and Cal. Civ. Code § 1788.58(b).
See Sgro Decl., ¶ 9.
27. There are no class allegations regarding
violations of Cal. Civ. Code § 1788.52(d)(1).
See Cross Complaint, ¶¶ 34
DATED: July 21, 2023 HINSHAW & CULBERTSON LLP
By:
Justin M. Penn
Sara E. Franks
Attorneys for Plaintiff and Cross-Defendant
Velocity Investments, LLC and Cross-
Defendant Velocity Portfolio Group, Inc.
HINSHAW & CULBERTSON
350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE
Los Angeles, CA 90071
2800 1045141 314181383.v1
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JUSTIN PENN (SBN CA jpenn@hinshawlaw.com SARA E. FRANKS (SBN 345940) sfranks@hinshawlaw.com HINSHAW & CULBERTSON LLP 350 South Grand Ave., Suite 3600 Los Angeles, CA 90071-3402 Telephone: 213-680-2800 Facsimile: 213-614-7399 Attorneys for Plaintiff and Cross Defendant Velocity Investments, LLC and Cross-Defendant Velocity Portfolio Group, Inc. SUPERIOR COURT OF THE STATE OF CALIFORNIA COUNTY OF SANTA CLARA VELOCITY INVESTMENTS, LLC Case No. 16CV300096 Plaintiff Assigned to: Dept. 19, The Honorable Theodore C. Zayner vs. SEPARATE STATEMENT OF MARIA CANUL, UNDISPUTEDMATERIAL FACTS AND SUPPORTING EVIDENCEIN SUPPORT Defendant OF CROSS DEFENDANTS’MOTION FOR SUMMARY JUDGMENT AS TO CROSS COMPLAINANT MARIA CANUL’S FIRST AMENDED CLASS ACTION CROSS COMPLAINT MARIA CANUL Notice of Motion, Memorandum of Points Cross-Complainant, and Authorities, Compendium of Documentary Evidence, Declaration of vs. Deanna SgroRequest for Judicial Notice, and [Proposed] Order concurrently filed VELOCITY INVESTMENTS, LLC, a New herewith.] Jersey limited liability company; VELOCITY PORTFOLIO GROUP, INC., a Delaware corporation; and ROES 2 through 10, inclusive, Date: October 25, 2023 Time: 1:30 p.m. Cross Defendants. Dept.: 19 Complaint Filed: September 20, 2016 HINSHAW & CULBERTSON 350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE Los Angeles, CA 90071 2800 1045141 314181383.v1 Cross Defendants Velocity Investments, LLC(“VI”) and Velocity Portfolio Group, Inc. (collectively, “Velocity” or “Cross Defendants”) hereby submit the following Separate Statement of Undisputed Facts and Supporting Evidence in support of its Motion for Summary Judgment as to Cross Complainant Maria Canul’s (“Canul” or “Cross Complainant”) First Amended Class Action Cross Complaint. CROSS COMPLAINANT LACKS STANDING TO SUE AS SHE IS NOT BENEFICIALLY INTERESTED IN THIS MATTER UNDISPUTED MATERIAL FACTS AND RESPONSE AND SUPPORTING SUPPORTING EVIDENCE EVIDENCE Cross Complainant gained a personal loan or consumer credit account from LendingClub Corporation (“LendingClub"between 2010 and 2012 that is the underlying basis of this action.After couple of years, Canul ceased making payments on the loan. The date of the last payment was on or about August 13, 2014. See Compendium of Documentary Evidence (“Compendium”), Exhibit Deposition of Maria Canul (“Canul Depo.”), 31:1 , 33:12 16; 37:7 Compendium, Exhibi September20, 2016 Complaint for Money (“Complaint for Money”), 3:5 . If she would have had a problem or question on the account, she would have called LendingClub. See Canul Depo., 43:14 VI is a debt buyer who purchased Canul’s consumer credit account and became the sole owner of the debt at issue or gained the authority to assert the rights of all owners of the debt. See Complaint for Money, 3:7 4. Cross Defendant VI has detailed litigation policies that it follows prior to initiating a lawsuit. These litigation policies are in place to prevent violations of consumer protection statutes and inform debtors of their rights as required by the statutes. HINSHAW & CULBERTSON 350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE Los Angeles, CA 90071 2800 1045141 314181383.v1 See Declaration of Deanna Sgro(“Sgro Decl.”), ¶¶ 3 VI filed a Complaint for Money against Cross Complainant on September 20, 2016, seeking payment of the remaining principal, costs of suit, and any further relief the Court deemed proper. See generally, Complaint for Money 6. Canul does not dispute that she agreed to the loan from LendingClub, received the loan, and made payments on the loan. See Canul Depo., 31 33:1 7. VI identified Canul as the Defendant and provided her last known address per the charge off creditor’s recordsin their Complaint for Money. See Complaint for Money, 4:4 Canul filed her First Amended Class Action Cross Complaint on November 4, 2021 alleging violations of the CFDBPA. See Compendium, Exhibit B, First Amended Class Action Cross Complaint (“Cross Complaint”). 9. Cross Complainant has stipulated that she is not seeking any emotional distress or out pocket pecuniary damages and has waived any claim to actual damages recoverable. See Canul Depo., 55:19 23; Compendium, Exhibit E, Cross Complainant’s Response to Cross Defendants’ Form Interrogatories, Set One, No. 9.1; Compendium, Exhibit F, Cross Complainant’s Response to Cross Defendants Special Interrogatories, Set One, No. 3 . 10. Cross Complainant has admitted that the alleged conduct and violations alleged in her Cross Complaint did not affect her in any way other than having “to go through this entire process which is not an easy process.” See Canul Depo., 56:16 11. Cross Complainant has represented that HINSHAW & CULBERTSON 350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE Los Angeles, CA 90071 2800 1045141 314181383.v1 she does not know the difference between LC TRUST I and LendingClub and that her knowledgeas to who LC TRUST I was came from her attorneys and only arose during the pendency of this case. See Canul Depo., 35 12. Canul does not recall contacting LendingClub, WebBank, or LC TRUST I after receiving the Complaint for Money. Instead, she testifies that she quickly contacted her attorneyswho she had already contacted prior to service, upon receipt of the Complaint for Money See Canul Depo., 37 38:1 7; 38: 4 ; 21:9 ANY ALLEGED VIOLATIONS AGAINST CROSS DEFENDANTS WERE IMMATERIAL UNDISPUTED MATERIAL FACTS AND RESPONSE AND SUPPORTING SUPPORTING EVIDENCE EVIDENCE 13. Cross Defendants incorporate by reference 12 of this Separate Statement of Undisputed Material Factsinto the following factsCross Defendants additionally incorporate e following facts into the facts listed in ¶¶ 1 12 of this Separate Statement of Undisputed Material Facts. 14. Canul’s address between 2005/2009 to 2018 was 25 South 15th Street, Number 2, San Jose California 95112. See Canul Depo., 9:8 23. 15. VI sent an initial demand letter to Maria Canul on or about March 3, 2015 at her current address at the time. See Compendium, Exhibit C, March 3, 2015 Demand Letter from Velocity Investments, LLC to Maria Canul (“Demand Letter”); Sgro Decl. ¶ 5. 16. The Demand Letter informed Canul that she had the right to dispute the debt and that, upon written request, VI would provide her with the name and address of the original HINSHAW & CULBERTSON 350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE Los Angeles, CA 90071 2800 1045141 314181383.v1 creditor if different from the current creditor. See Demand Letter. 17. It also stated that if the debt was disputed, that VI would provide verification of the debt. See Demand Letter. 18. The Demand Letter contained VI’s name, address, and contact information. See Demand Letter. 19. VI intended for the disclosures in the Demand Letter to provide Canul with information on her rights as a debtor. See Sgro Decl ¶ 6. 20. If a request was made to VI for documentation on Canul’s debt, agreement to the debt, or any other records requested, VI would have been able to provide that documentation. See Sgro Decl , ¶ 7. 21. In the Complaint for Money, VI identified the name and address of charge off creditor at the time of charge off as LENDINGCLUB CORPORATION, 71 Stevenson St. Suite 300, San Francisco, CA 94105 and provided the charge off creditor’s account number. See Complaint for Money, 4:1 22. VI understood LENDINGCLUB CORPORATION to be the charge off creditor at the time of charge off when it filed its Complaint for Money. See Sgro Decl., ¶ 8. 23. VI alleged that they complied with California Civil Code See Complaint for Money, 4:9. 24. VI attached a Truth in Lending Disclosure Statement to the Complaint for Money and identified it as a copy of the document described by California Civil Code § 1788.52(b). HINSHAW & CULBERTSON 350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE Los Angeles, CA 90071 2800 1045141 314181383.v1 See Complaint for Money, 4:10 Exh. A. 25. The Truth in Lending Disclosure Statement identified Canul as the borrower, identified the annual percentage rate, finance charge, amount financed, total of payments, number of payments, when payments were due, the payment policy, and a mean estimate. It also referenced LendingClub Corporation and identified its address. See Complaint for Money, Exh. A. 26. VI attached the Truth in Lending Disclosure Statement to the Complaint for Money to comply with Cal. Civ. Code § 1788.52(b) and Cal. Civ. Code § 1788.58(b). See Sgro Decl., ¶ 9. 27. There are no class allegations regarding violations of Cal. Civ. Code § 1788.52(d)(1). See Cross Complaint, ¶¶ 34 DATED: July 21, 2023 HINSHAW & CULBERTSON LLP By: Justin M. Penn Sara E. Franks Attorneys for Plaintiff and Cross-Defendant Velocity Investments, LLC and Cross- Defendant Velocity Portfolio Group, Inc. HINSHAW & CULBERTSON 350 South Grand Ave., Suite 3600 SEPARATE STATEMENT OF UNDISPUTED MATERIAL FACTS AND SUPPORTING EVIDENCE Los Angeles, CA 90071 2800 1045141 314181383.v1