Plaintiff’s Motion for Summary Adjudication of Issues is DENIED. While Inter-Con has established that NAS breached the Note by failing to pay the remaining balance due under the Note in the amount of $153,343.67, NAS has established its affirmative defense of entitlement to a setoff in the amount of $344,864.26. Further, Inter-Con has not established that NAS breached the Note regarding the future invoices.

Background:

This action rises out of allegations by Inter-Con Security Systems, Inc. (“Inter-Con”) that North American Security, Inc. (“NAS”) breached two separate contracts between the parties: (1) an implied contract to provide armed protective security officers throughout the state of Nevada, and (2) a written promissory note. Inter-Con commenced this action on December 22, 2015. Inter-Con filed the operative First Supplemental and Amended Complaint (“FAC”) on October 19, 2016, against NAS as well as NAS’ two owners, Arthur L. Lopez and Kenneth D. Hillman alleging the following