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  • Blue Mountain Credit Alternatives Master Fund L.P., Bluemountain Foinaven Master Fund L.P., Bluemountain Fursan Fund L.P., Bluemountain Guadalupe Peak Fund L.P., Bluemountain Kicking Horse Fund L.P., Bluemountain Logan Opportunities Master Fund L.P., Bluemountain Montenvers Master Fund Sca Sicav-Sif, Bluemountain Summit Trading L.P., Gkc Strategic Value Master Fund, Lp, Gkc Sv Sma I, Llc v. Israel Greidinger Special Proceedings - Other (Enforcement of Subpoena) document preview
  • Blue Mountain Credit Alternatives Master Fund L.P., Bluemountain Foinaven Master Fund L.P., Bluemountain Fursan Fund L.P., Bluemountain Guadalupe Peak Fund L.P., Bluemountain Kicking Horse Fund L.P., Bluemountain Logan Opportunities Master Fund L.P., Bluemountain Montenvers Master Fund Sca Sicav-Sif, Bluemountain Summit Trading L.P., Gkc Strategic Value Master Fund, Lp, Gkc Sv Sma I, Llc v. Israel Greidinger Special Proceedings - Other (Enforcement of Subpoena) document preview
  • Blue Mountain Credit Alternatives Master Fund L.P., Bluemountain Foinaven Master Fund L.P., Bluemountain Fursan Fund L.P., Bluemountain Guadalupe Peak Fund L.P., Bluemountain Kicking Horse Fund L.P., Bluemountain Logan Opportunities Master Fund L.P., Bluemountain Montenvers Master Fund Sca Sicav-Sif, Bluemountain Summit Trading L.P., Gkc Strategic Value Master Fund, Lp, Gkc Sv Sma I, Llc v. Israel Greidinger Special Proceedings - Other (Enforcement of Subpoena) document preview
  • Blue Mountain Credit Alternatives Master Fund L.P., Bluemountain Foinaven Master Fund L.P., Bluemountain Fursan Fund L.P., Bluemountain Guadalupe Peak Fund L.P., Bluemountain Kicking Horse Fund L.P., Bluemountain Logan Opportunities Master Fund L.P., Bluemountain Montenvers Master Fund Sca Sicav-Sif, Bluemountain Summit Trading L.P., Gkc Strategic Value Master Fund, Lp, Gkc Sv Sma I, Llc v. Israel Greidinger Special Proceedings - Other (Enforcement of Subpoena) document preview
						
                                

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INDEX NO. 157480/2019 NYSCEF DOC. NO. 62 RECEIVED NYSCEF: 09/20/2019 SUPREME COURT OF THE STATE OF NEW YORK NEW YORK COUNTY PRESENT: HON. ARTHUR F. ENGORON PART IAS MOTION 37EFM Justice X INDEX NO. 157480/2019 BLUE MOUNTAIN CREDIT ALTERNATIVES MASTER FUND L.P., BLUEMOUNTAIN FOINAVEN MASTER FUND MOTION DATE 08/01/2019 L.P., BLUEMOUNTAIN FURSAN FUND L.P., BLUEMOUNTAIN GUADALUPE PEAK FUND L.P., MOTION SEQ. NO. 001 BLUEMOUNTAIN KICKING HORSE FUND L.P., BLUEMOUNTAIN LOGAN OPPORTUNITIES MASTER FUND L.P., BLUEMOUNTAIN MONTENVERS MASTER FUND SCA SICAV-SIF, BLUEMOUNTAIN SUMMIT TRADING L.P., GKC STRATEGIC VALUE MASTER FUND, LP, GKC SV SMAI, LLC, DECISION + ORDER ON Plaintiffs, MOTION -v- ISRAEL GREIDINGER, Defendant. X The following e-filed documents, listed by NYSCEF document number (Motion 001)2, 14, 15, 33, 34, 35, 36, 37, 38, 39, 40, 41, 42, 43, 44, 51, 52, 53, 54, 55, 56, 57, 59 were read on this motion for ENFORCEMENT Upon the foregoing documents, it is the motion to enforce is denied, and the cross-motion to quash is granted. Brief Background Cineworld, a British Corporation, acquired Regal, a Delaware corporation. Petitioners owned shares in Regal, and pursuant to Delaware law they are entitled to certain appraisal rights, which they are seeking to enforce in an action they have commenced in Delaware against Regal. Respondent is an Israeli citizen and a high-ranking principal of Cineworld. Understandably, petitioners wanted to depose him. To accommodate petitioners’ counsel, he voluntarily appeared in New York, was deposed, and turned over some 1,300 documents (or pages thereof). Petitioners believed that he had further information and other relevant documents, and towards or at the close of the deposition they served him with a subpoena to appear in New York again and to bring other documents. They now move to enforce the subpoena, and respondent cross-moves to quash. Both sides have submitted excellent briefs and letters vigorously arguing their respective positions. Discussion This Court will assume, without deciding, solely for purposes of this decision, that the subpoena was procedurally valid and not overly burdensome; that CPLR 3119 can be applied to non- domiciliaries; and that the Hague Evidence Convention is not the exclusive means to compel compliance with a subpoena served on a foreign national. 157480/2019 BLUE MOUNTAIN CREDIT vs. GREIDINGER, ISRAEL Page1 of2 Motion No. 001 1 of 2 INDEX NO. 157480/2019 NYSCEF DOC. NO. 62 RECEIVED NYSCEF: 09/20/2019 New York’s connection to the Delaware proceeding is short, small and exceedingly tenuous. The principal of a non-party to the Delaware proceeding voluntarily, to accommodate petitioners, allowed himself to be deposed in New York, and brought some documents with him. Period; That’s it; Nothing else. What is not in New York is the underlying proceeding (Delaware); the parties to that proceeding; respondent’s residence (Israel); respondent’s employer’s residence (Britain); and the documents sought (Britain). Apparently, all of petitioners’ cases have some connection to the forum other than a voluntary one-day appearance, as an accommodation, in aid of a foreign action. Among petitioners’ many arguments is that respondent only provided documents helpful to Cineworld. But he was not required to produce anything. Indeed, what he provided seems to have helped, not hurt, petitioners, in that they now know what other information, particularly documents, to seek, and they have (other) means to obtain those documents. Petitioners attempt to make much of the fact that the subpoena issued out of the same proceeding that brought respondent to New York. While there is some case support (in distinguishable cases) for this argument, this Court finds it ironic. Arguably, petitioners should be the last people to attempt to rely on respondents’ presence here, because he was accommodating them by being here; whereas a stranger to his appearance could attempt to rely (albeit probably unsuccessfully) on standard principles of “tag jurisdiction.” “The doctrine of immunity from service protects non-domiciliaries of New York from civil process when they voluntarily appear in New York to participate in legal proceedings of any kind, whether as parties or as mere witnesses. The doctrine, moreover, applies to any action sought to be commenced against the voluntary participant “whether or not related to the proceedings for which he is in the state” (see, Siegel, N.Y.Prac. § 68, at 71).” Morea v Regan, 140 AD2d 313, 315 (2d Dept 1988) (citations omitted); see also, Genger v. Genger, 50 Misc 3d 361, 366 (Sup Ct, NY County 2015). To the extent that any courts of coordinate jurisdiction may have tuled otherwise, this court simply disagrees. To the extent that enforcement of the subpoena might be discretionary, this Court declines to exercise that discretion. Final Analysi The instant dispute belongs in Delaware (whose courts, understandably, have not directed respondent to appear), the forum of the underlying proceeding; or in Britain, where the documents are; or in Israel, where respondent lives. It does not belong in New York, where solely to accommodate petitioners, respondent spent a day. Conclusion The petition is denied; the cross-motion is granted; and the subject petition is hereby quashed. 9/19/2019 DATE ARTHUR F. ENGORON, J.S.C. CHECK ONE: x CASE DISPOSED NON-FINAL DISPOSITION GRANTED [x] DENIED |__| GRANTED IN PART OTHER APPLICATION: SETTLE ORDER SUBMIT ORDER CHECK IF APPROPRIATE: INCLUDES TRANSFER/REASSIGN FIDUCIARY APPOINTMENT O REFERENCE 157480/2019 BLUE MOUNTAIN CREDIT vs. GREIDINGER, ISRAEL Motion No. 001 Page 2 of 2 2 of 2