Regus Management Group, LLC et al v. Perez et al

Filing 96

ORDER: IT IS HEREBY ORDERED that not later than April 7, 2021, Plaintiffs must supplement their submissions in pursuit of a Final Default Judgment as to Defendant Heavy Grind in accordance with this Order. Further, because Plaintiffs and the individu al Defendants agreed not to post theirsettlement agreement on the public docket, the Court is unable to confirm Plaintiffs' attestations concerning the content of the settlement. If any of the individual Defendants object to Plaintiffs' cha racterization of their settlement as affording judgment against the individual Defendants and in favor of Plaintiffs in the amount of $75,000 and pursuant to which the individual Defendants disclaimed any and all claims of ownership or interest to any property left behind at Plaintiffs' office they must file a written objection on the docket not later than April 15, 2021. And as set forth herein. SO ORDERED. (Signed by Judge Valerie E. Caproni on 3/31/2021) (ama)

UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
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REGUS MANAGEMENT GROUP, LLC,
:
a Delaware limited liability company, and
:
RGN-NEW YORK XLI, LLC, a Delaware
:
limited liability company,
:
:
Plaintiffs,
:
:
-against:
:
:
JULIAN PEREZ, ALLISON MCCARTHY,
:
ARIEL ALCANTARA, and HEAVY GRIND
:
STUDIO, LLC, a New York limited liability
:
company,
:
:
Defendants. :
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USDC SDNY
DOCUMENT
ELECTRONICALLY FILED
DOC #:
DATE FILED: 3/31/2021

19-CV-6766 (VEC)
ORDER

VALERIE CAPRONI, United States District Judge:
WHEREAS on February 21, 2020, the Court entered a default judgment against
Defendant Heavy Grind Studio, LLC, in an amount to be determined after the conclusion of
proceedings against individual Defendants Julian Perez, Allison McCarthy, and Ariel Alcantara,
Dkt. 68;
WHEREAS on February 11, 2021, after reaching a settlement agreement with the
individual Defendants, the Court so-ordered a joint stipulation voluntarily dismissing this action
as to the individual Defendants, Dkt. 91;
WHEREAS on March 22, 2021, Plaintiffs filed a letter motion seeking entry of an Order
of Final Default Judgment against Heavy Grind Studio, LLC, Dkt. 93; and
WHEREAS along with their letter motion, Plaintiffs filed a Proposed Final Default
Judgment, Dkt. 94, and the affirmation of Plaintiffs’ counsel, Dkt. 95;

IT IS HEREBY ORDERED that not later than April 7, 2021, Plaintiffs must supplement
their submissions in pursuit of a Final Default Judgment as to Defendant Heavy Grind in
accordance with this Order.
1. Plaintiffs allege damages for “Repair Expenses (Labor and Supplies)” in the total
amount of $24,803.89. By the Court’s calculations, the receipts submitted in support
of this amount total only $23,006.89. Similarly, the documents submitted in support
of Plaintiffs’ claim to have suffered an overall loss of revenue totaling $138,035
evidence a seemingly different monthly rate than that used to calculate this sum in
Plaintiffs’ affidavits. Plaintiffs must explain these apparent discrepancies and submit
additional documentation, to the extent necessary.
2. Plaintiffs’ Proposed Final Default Judgment proposes July 1, 2019, as the date on
which prejudgment interest began to accrue. Plaintiffs must explain their basis for
selecting July 1, 2019, as the date on which they assert prejudgment interest began to
accrue.
3. Plaintiffs seek a declaration that Plaintiff Regus Management Group, LLC is the
rightful owner of any personal property located at Regus’ office. In their complaint,
Plaintiffs assert their belief that the personal property was abandoned by a former
tenant and that Defendants began using the property without any ownership rights or
authority. Their complaint thus seeks “a determination as to the ownership of the
Personal Property so that it may be properly disposed of or returned to the lawful
owner,” and further seeks reimbursement “for all costs incurred in securing and
seeking the return of the Personal Property by anyone determined to be the rightful
owner” and for any costs incurred in securing the property. Compl. ¶¶ 141–145. In
the Proposed Final Default Judgment, Plaintiffs now seek a Court order declaring
them the rightful owners of the property left at Regus’ office. Plaintiffs must
supplement their submission to explain why they are entitled to a Court order on a
motion for a final default judgment in which the precise relief ordered is not sought in
the Complaint itself and when a party in interest (the former tenant) is not a party to
the action.
Further, because Plaintiffs and the individual Defendants agreed not to post their
settlement agreement on the public docket, the Court is unable to confirm Plaintiffs’ attestations
concerning the content of the settlement. If any of the individual Defendants object to Plaintiffs’
characterization of their settlement — as affording judgment against the individual Defendants
and in favor of Plaintiffs in the amount of $75,000 and pursuant to which the individual
Defendants disclaimed any and all claims of ownership or interest to any property left behind at

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Plaintiffs’ office — they must file a written objection on the docket not later than April 15,
2021.

SO ORDERED.
________________________
_
________________________
VALERIE CAPRONI
CAPRON
ONI
ON
ON
United States District Judge

Date: March 31, 2021
New York, New York

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