Preview
FILED: MONROE COUNTY CLERK 06/24/2024 11:28 AM INDEX NO. E2024010392
NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 06/24/2024
MONROE COUNTY CLERK’S OFFICE THIS IS NOT A BILL. THIS IS YOUR RECEIPT.
Receipt # 3915481
Book Page CIVIL
Return To: No. Pages: 11
JASON ADAM GANG
Instrument: EFILING INDEX NUMBER
Control #: 202406241016
Index #: E2024010392
Date: 06/24/2024
App Funding Beta LLC Time: 12:52:58 PM
JBRB Services LLC
Autoshop Gallery
Pascual, Elvis
Vargas, Alexander D
Vargas, Federico A
State Fee Index Number $165.00
County Fee Index Number $26.00
State Fee Cultural Education $14.25
State Fee Records $4.75 Employee: RR
Management
Total Fees Paid: $210.00
State of New York
MONROE COUNTY CLERK’S OFFICE
WARNING – THIS SHEET CONSTITUTES THE CLERKS
ENDORSEMENT, REQUIRED BY SECTION 317-a(5) &
SECTION 319 OF THE REAL PROPERTY LAW OF THE
STATE OF NEW YORK. DO NOT DETACH OR REMOVE.
JAMIE ROMEO
MONROE COUNTY CLERK
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COURTOF THE STATEOF NEWYORK
SUPREME
COUNTYOF MONROE
___________________________________________________________________Ç
APP FUNDINGBETALLC INDEX NO.:
DATEPURCHASED:
Plaintif
SUMMONS
-against-
JBRB SERVICES LLC D/B/A AUTOSHOP
GALLERY
andELVIS PASCUALand ALEXANDERD VARGAS
and FEDERICOA VARGAS
Defendants.
___________________________________________________________________Ç
TO THE ABOVE-NAMED
DEFENDANTS:
YOUARE HEREBYSUMMONED
and required to serve upon Plaintiff attorney,
at the address below, an answer to the attached
stated complaint. If this summons was
personally delivered upon you in the State of New York, the answer must be served within
twenty days after such service of the summons, excluding the date of service. If the summons
was not personally delivered to you within the State of New York, the answer must be served
within thirty days after service of the summons is complete as provided by law.
If you do not serve an answer to the attached complaint within the applicable time
limitation stated above, a judgment may be entered against you, by default, for the relief
demanded in the complaint, without further notice to you.
The basis for venue is pursuant to the Contract entered into between the parties.
Dated: Hewlett, NewYork
June 20, 2024
By:
J A. Gang, Èsq2
e Law Office of Jason Gang
1245 Hewlett Plaza, #478
Hewlett, NY 11557
(646) 389-561O
Attorneys for Plaintiff
Our File No. 1330-103
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NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 06/24/2024
Defendants to be served:
JBRB Services LLC D/B/A Autoshop Gallery
8004 Route 130
Delran, NJ 08075
Elvis Pascual
8004 Route 130
Delran, NJ 08075
Alexander D Vargas
8004 Route 130
Delran, NJ 08075
Federico A Vargas
8004 Route 130
Delran, NJ 08075
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SUPREMECOURTOF THESTATEOF NEWYORK
COUNTYOF MONROE
___________________________________________________________________Ç
APPFUNDINGBETALLC INDEX NO.:
Plaintiff
VERIFIED COMPLAINT
-against-
JBRB SERVICES LLC D/B/A AUTOSHOP
GALLERY
and ELVIS PASCUALand ALEXANDERD VARGAS
and FEDERICOA VARGAS
Defendants.
___________________________________________________________________Ç
Plaintiff App Funding Beta LLC ("Plaintiff), by its attorney, Jason A. Gang Esq., for its
complaint herein against JBRB Services LLC D/B/A Autoshop Gallery ("Merchant") and Elvis
Pascual, Alexander D Vargas, and Federico A Vargas ("Guarantors") (Merchant and Guarantors
collectively "Defendants"), alleges as follows:
The Partins
1. Plaintiff App Funding Beta LLC is a foreign limited liability company, duly
registered to do business in NewYork, engaged in the receivables financing business.
2. Defendant JBRB Services LLC D/B/A Autoshop Gallery is a limited liability
company organized and existing under the laws of the State of NewJersey.
3. Defendant Elvis Pascual is an individual residing in the State of New Jersey.
4. Defendant Alexander D Vargas is an individual residing in the State of New
Jersey.
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5. Defendant Federico A Vargas is an individual residing in the State of NewJersey.
Jurisdiction and Venue
6. This Court has jurisdiction over the Defendants pursuant to CPLR § 301 based
upon a consent to jurisdiction provision(s) in the Agreement between the parties.
7. This Court has personal jurisdiction over Defendants because they consented to
personal jurisdiction in NewYork.
8. Venue is proper in this Court because Defendants consented to venue in this Court.
Thç Facts
9. On or about May 10, 2024, Plaintiff and Defendants entered into a Sale of Future
Receipts Agreement (the "Agreement") whereby Plaintiff agreed to purchase 7%(the "Specified
Percentage") of the Merchant's future accounts receivable up to the sum of $44,970.00 (the
"Purchased Amount") in exchange for an upfront purchase price of $30,000.00 (the "Purchase
Price").
10. Pursuant to the Agreement, Merchant agreed to have one bank account approved
by Plaintiff (the "Bank Account") into which all of its receivables would be deposited.
11. The Purchased Amount of receivables was to be remitted to Plaintiff pursuant to
daily ACH withdrawals from the Bank Account in the amount of $642.43 each business day,
which amount was a good faith approximation of the Specified Percentage.
12. If the Merchant's financial performance fluctuated during the term of the
Agreement, the Merchant was entitled to a retroactive reconciliation and/or prospective
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adjustment of the estimated daily/weekly remittance if it followed the procedures set forth in the
Agreement for requesting the reconciliation and/or adjustment.
13. Pursuant to a Personal Guaranty of Performance (the "Guaranty") executed
contemporaneously within the Agreement, the Guarantors guaranteed the performance of the
Merchant's obligations to Plaintiff pursuant to the Agreement.
14. Plaintiff remitted the purchase price for the future receivables, less applicable and
disclosed upfront fees, to Merchant pursuant the terms of the Agreement.
15. Critical to facilitating this transaction, the Agreement contains Merchant's express
covenant not to revoke its ACH authorization to Plaintiff or otherwise take any measure to
interfere with Plaintiff's ability to collect the Future Receivables.
16. Merchant stopped making its payments to Plaintiff and otherwise breached the
Agreement by intentionally impeding and preventing Plaintiff from making the agreed upon ACH
withdrawals from the Bank Account while conducting regular business operations.
17. Merchant remitted $7,709.16 of the receivables purchased by Plaintiff, leaving an
outstanding balance of the Purchased Amount of $37,260.84. In addition, pursuant to the
Agreement, Merchant incurred nine (9) NSF Fees at $35.00 each for a total of $315.00 between
June 4, 2024, and June 14, 2024, per Appendix A of the Agreement.
18. Contrary to Merchant's express covenant set forth above, Merchant materially
breached the terms of the Agreement on June 14, 2024. by changing the designated bank account
without Plaintiff's authorization, by placing a stop payment on Plaintiff's debits to the account
or by otherwise taking measures to interfere with Plaintiff's ability to collect the Future
Receivables.
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19. Despite due demand, Merchant has failed to pay the amounts due and owing by
Merchant to Plaintiff under the Agreement.
20. Additionally, Guarantors breached the provisions of the Guaranty by failing to
perform Merchant's obligations to Plaintiff under the Agreement when Merchant failed to do so.
21. Based upon the foregoing, Defendants are liable to Plaintiff on the Agreement in
the amount of $37,575.84 plus interest, costs, disbursements and attorney's fees.
ASANDFORTHEFIRST CAUSEOFACTION
(Breach of Contract)
22. Plaintiff repeats and realleges each and every allegation contained in the
paragraphs above as though fully set forth at length herein.
23. Plaintiff performed its obligations to Merchant under the Agreement by advancing
the agreed upon purchase price, less applicable and disclosed upfront fees, for the Purchased
Amount of the Merchant's receivables.
24. Upon information and belief, Merchant is still conducting regular business
operations and still collecting receivables.
25. Merchant has materially breached the Agreement by failing to make the specified
payment amount to Plaintiff as required under the Agreement and otherwise intentionally
impeding and preventing Plaintiff from receiving the proceeds of the receivables purchased by
them.
26. Upon information and belief, Merchant has also materially breached the
Agreement by using more than one depositing bank (account which has not been approved by
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Plaintiff.
27. By reason of the foregoing, Plaintiff has suffered damages in the amount of
$37,575.84, plus interest, costs, disbursements and attorney's fees.
AS ANDFORA SECONDCAUSEOF ACTION
(Personal Guarantee)
28. Plaintiff repeats and realleges each and every allegation contained in the
paragraphs above as though fully set forth at length herein.
29. Pursuant to the Guaranty, the Guarantors guaranteed the performance of the
Merchant's obligations to the Plaintiff under the Agreement.
30. Guarantors breached the provisions of the Guaranty by failing to perform the
Merchant's obligations to Plaintiff under the Agreement when Merchant failed to do so.
31. By reason of the foregoing, Plaintiff is entitled to judgment against Guarantors for
breach of the Guaranty in the sum of $37,575.84, plus interest, costs, disbursements and
attorney's fees.
WHEREFORE,Plaintiff App Funding Beta LLC requests judgment
against Defendants JBRB Services LLC D/B/A Autoshop Gallery and Elvis Pascual, Alexander
D Vargas, and Federico A Vargas as follows:
(i) On the first cause of action of the complaint, Plaintiff requests judgment against
Merchant in the amount of $37,575.84, plus interest, costs, disbursements and
attorney's fees;
(ii) On the second cause of action of the complaint, Plaintiff requests judgment
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against Guarantors in the amount of $37,575.84, plus interest, costs,
disbursements and attorney's fees;
(iii) For such other and further relief as this Court deems just and proper.
Dated: Hewlett, NewYork
June 20, 2024
By:
Jason ang, Esq.
The aw Officeof Jason Gang
1245 Hewlett Plaza, #478
Hewlett, NY 11557
(646) 389-561O
Attorneys for Plaintiff
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COURTOF THE STATEOF NEWYORK
SUPREME
COUN
TY OF MONROE
___________________________________________________________________Ç
APPFUNDINGBETALLC INDEX NO.:
Plaintiff
-against-
JBRB SERVICES LLC D/B/A AUTOSHOP
GALLERY
and ELVIS PASCUALand ALEXANDERD VARGAS
and FEDERICOA VARGAS
Defendants.
___________________________________________________________________Ç
NOTICEOF COMMENCEMENT
OFACTION
SUBJECTTO MANDATORY
ELECTRONICFILING
PLEASETAKE NOTICE that the matter captioned above, which has been commencedby
of the accompanying documents with the County Clerk, is subject to
filing mandatory electronic filing
pursuant to Section 202.5-bb of the Uniform Rules for the Trial Courts. This notice is
being served
as required by Subdivision (b) (3) of that Section.
The New York
State Courts Electronic Filing System ("NYSCEF") is designed for the
electronic of documents with the County Clerk and the court and for the electronic
filing service of
those documents, court documents, and court notices upon counsel and self-represented parties.
Counsel and/or parties who do not notify the court of a claimed exemption (see
below) as required
by Section 202.5-bb(e) must immediately record their representation within the e-filed matter on the
Consent page in NYSCEF. Failure to do so may result in an inability to receive electronic notice of
document filings.
Exemptions from mandatory e-filing are limited to: 1) attorneys who certify in good faith that
they lack the computer equipment and (along with all employees) the requisite knowledge to comply;
and 2) self-represented parties who choose not to participate in e-filing. For additional information
about electronic filing, including access to Section 202.5-bb, consult the NYSCEFwebsite at
www.nycourts.gov/efile or contact the NYSCEF Resource Center at 646-386-3033 or
efile@courts.state.ny.us.
Dated: June 20, 2024
By:
Jaso . Gang, Esq.
Th aw Office of Jason Gang
1245 Hewlett Plaza, #478
Hewlett, NY 1 1557
(646) 389-5610
Attorneys for Plaintiff
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COURTOFTHE
SUPREME STATEOFNEW
YORK
COUNTYOF MONROE
___________________________________________________________________Ç
APPFUNDINGBETALLC INDEX NO.:
Plaintiff
VERIFICATION
-against-
JBRB SERVICES LLC D/B/A AUTOSHOP
GALLERY
PASCUALand ALEXANDERD VARGAS
and ELVIS
and FEDERICOA VARGAS
Defendants.
___________________________________________________________________Ç
STATEOF NEWYORK :
: SS:
COUNTYOF NEWYORK :
Benjamin Sanders, being duly sworn, hereby deposes and says as follows,
under penalties of perjury:
I am an Authorized Representative of Plaintiff APP FUNDINGBETALLC in
the within action. I have read the foregoing Verified Complaint and know the contents thereof;
The same is true to my knowledge, except as to the matters therein stated to be alleged upon
information and belief, and as to those matters I believe them to be true.
The foregoing statements are true under penalties of perjury.
Sworn to before me this BY:
EM day of vac , 20_z4
Benjamin Sanders
Notary Public
PETERMICHAELRINATO
INOTARYPUBLIC, STATEOFNEWYORK
Registration No. 02RI0002153
Qualified in NewYork County
Commission Expires March 2, 2027
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