Order: Eric Olson Doing Business as Digital Cash Services, LLC vs. Valuto, Inc. Doing Business as Coinmover et al

• 
• 
• 
• 
• 
• 

						
                                
Preview
                                Date Filed 10/28/2022 12:56 PM
 Superior Court - Essex
 Docket Number ‘2277CV00790

     i

cY                                                                                                     RECEIVED
                                             COMMONWEALTH      OF MASSACHUSETTS


                    ESSEX, ss.                                        SUPERIOR COURT DEPARTME
                                                                         Civil Action No. 2277CV! 00790

                     ERIC OLSON, D/B/A DIGITAL CASH
                     SERVICES, LLC,

           oF                        Plaintiff,
                              vs.

oe        8         VALUTO, INC. D/B/A COINMOVER,
                    MIKE SCANLON, INDIVIDUALLY
SA                  AND AS PRESIDENT OF VALUTO,
                    INC. D/B/A COINMOVER and STEVE
                    GORMLEY, INDIVIDUALLY AND AS
                    DIRECTOR AND CHIEF EXECUTIVE
                    OFFICER OF VALUTO, INC. D/B/A
                    COINMOVER,
                                     Defendants.

SX
                     DEFENDANTS’ MOTION TO DISMISS FOR FAILURE TO STATE A CLAIM
                       UPON WHICH RELIEF CAN BE GRANTED PURSUANT TO MASS. (CIV.
                      PRO. RULE 12(b)(6) AND DEFENDANT STEVE GORMLEY’S MOTION TO
                        DISMISS FOR LACK OF PERSONAL JURISDICTION PURSUANT TO
                                                    MASS. R. CIV. P. 12(b)(2)
                              Defendants move under Mass. R. Civ. P. 12(b)(6) to dismiss the complaint in
 Bose                this case for failure to state a claim upon which relief may be granted.      Although

                     Plaintiff asserts five counts against three different defendants,} at bottom this action



¥                    1 The Counts are as follows:

                     Count I —       GL. ¢.93A vs. corporate Defendant Valuto Inc. d/b/a Coinmover;
                     Count    II -   GL. ¢.93A vs individual Defendant Michael Scanlon;
                     Count    III    G.L. ¢.93A vs individual Defendant Steve Gormley;
 QS                  Count
                     Count
                              IV
                              V
                                     Breach of contract vs. Valuto
                                     Negligence vs Valuto

   Bt
 4
Date Filed 10/28/2022 12:56 PM
 ‘Superior Court - Essex
Docket Number 2277CV00780

   «


                   arises from a dispute between two businesses — Plaintiff and Defendant Valuto, Inc.

                   d/b/a    Coinmover          (“Valuto”)    concerning   an   alleged    breach    of contract,   pure    and

                   simple, and nothing more.                Plaintiff's own allegations demonstrate that Valuto did

                   not breach the contract, and that Plaintiff suffered no damages allegedly caused by

                   the alleged breach.

                             There are no allegations of “rascality” or allegations of misrepresentation.                  Nor

                   are there any allegations that, if true, demonstrate any Defendant engaged in any

                   false and deceptive acts and practices under G.L. c. 93A or that support Plaintiffs

                   efforts to repackage its breach of contract claim into something more, and against

                   Valuto’s employees (defendants Scanlan and Gormley).                       Plaintiffs negligence claim

                   (Count V) is barred by the Economic Loss Rule.                  Accordingly, all counts against all

                   Defendants should be dismissed pursuant to Mass. R. Civ. P, 12(b)(6) for failure to

                   state a claim upon which relief may be granted.

                             Additionally, Gormley is a resident of Connecticut.               This Court lacks personal

                   jurisdiction over Gormley                to hear and determine        this civil action.    Accordingly,

                   Gormley             additionally moves    to dismiss   Count III for lack of personal jurisdiction

                   pursuant to Mass. R. Civ. P. 12(b)(2).

                             In further support of this Motion, Defendants submit their                    “Memorandum        of

                   Reasons         and, with respect to Gormley’s jurisdictional arguments,                 the Affidavit of

                   Steven         R.     Gormley.   Defendants     respectfully    invite    the   Court   to review      these

                   materials.
Date Filed 10/28/2022 12:56 PM
‘Superior Court - Essex
Docket Number 2277CV00790




                             WHEREFORE,            Defendants pray that the Court allow this Motion, dismiss all

                    counts against all Defendants with prejudice and without costs, and further that the

                    Court award Defendants such other and further relief to which they may be entitled.

                    Dated:       October 3, 2022                  Respectfully submitted,
                                                                  Defendants Valuto, Inc., Mike Scanlon and
                                                                  Steve Gormley

                                                                  /s/ Jeffrey D. Sternklar
                                                                  Jeffrey D. Sternklar (BBO #549561)
                                                                  Jeffrey D. Sternklar LLC
                                                                  101 Federal Street, 19* Floor
                                                                  Boston, MA 02110
                                                                  Telephone: 617-207-7800
                                                                  Facsimile:  617-507-6530
                                                                  Email: jeffrey@sternklarlaw.com

                                        SUPERIOR COURT RULE 9C CERTIFICATION

                             Thereby certify that the parties conferred in advance of the filing of this Motion
                    as required by Superior Court Rule 9C on September 30, 2022, at approximately 2:50
                    pm, by telephone.    All parties participated through counsel. Jeffrey D. Ste:nklar,
                    Esq. participated in the Rule 9C conference for Defendants.                John F. Rossi, Esq.
                    participated in the Rule 9C conference for the Plaintiff.

                    Dated:       October 3, 2022                  /s/ Jeffrey   D. Sternklar
                                                                  Jeffrey D. Sternklar


                                                     CERTIFICATE OF SERVICE

                    Thereby certify that on October 8, 2022, I served a copy of the foregoing docunient on
                    counsel for Plaintiff by electronic mail in accordance with the agreement of the parties
                    that service can occur by electronic mail upon counsel.



                                                                         /s/ Jeffrey D. Sternklar           _
                                                                         Jeffrey D. Sternklar