FILED: KINGS COUNTY CLERK 10/26/2022 10:59 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 531010/2022
`
`RECEIVED NYSCEF: 10/26/2022
`
`B I Z
`
`F U N D
`
`LOYAL
`
`.C O M
`TO YOU AND YOUR GROWTH
`BizFund, LLC
`2371 McDonald
`Ave 2nd FL
`NY 11223
`Brooklyn,
`CASH ADVANCE
`AGREEMENT
`
`MERCHANT
`
`n&this
`thited
`"Agretunent"or
`"Merdandgjmnt")
`the Merchant
`below ("Merchant").
`hsted
`("Purchaser"),and
`Tuly"
`"Parties."
`as a
`as the
`and collectively
`individually
`given
`to them in Section
`b of
`meanings
`the attached
`into and made a part of
`this Agreement
`as ifset
`forth
`
`between
`imited
`LLC, a Delaware
`, BizFund,
`Purchaser
`raen
`ed to
`are sometimes
`and Merchant
`Capitalized
`shal! ha
`terms
`used in this Agreement
`Terms
`and Conditions
`(the "Terms"),
`The Terms
`are h
`in this Agreement
`in full.
`
`ement
`ospective
`incorporated
`
`MERCHANT
`INFORMATION
`ENDUROPROPERTIES INVESTMENT COMPANY
`Legal Name:
`Merchant's
`CO r
`S VESW
`D/B/A:_EMPERO RO E
`____._______......._____
`Corporation O
`(check
`Type of entity
`one):
`Limited
`Liability
`Company
`Partnership O
`Partnership Q
`Limited
`General
`Offices: mmmm* m
`Liability
`M
`of Executive
`Address
`City
`Address:f±EMMCE___...._........_........................
`...City...
`...
`Mailing
`om2015
`no business
`(mm/yy):
`started
`
`_____
`
`...
`
`(
`
`State of|ncorpomlion
`Limited
`)
`Pstamhip
`
`Sole PropÎ w (O
`
`.
`
`.
`...
`
`__State
`ore
`
`O
`
`7
`
`OF THE PREMISES and other
`luERATION
`and Purchaser,
`edged by each of Merchant
`
`good and valuable
`consideration,
`to be legally
`the Parties,
`intending
`
`the receipt
`bound,
`
`of which
`and sufficiency
`agree as follows:
`hereby
`
`are
`
`Purchase
`
`nad Sale of Future Receipts.
`
`.
`
`.
`
`to Purchaser
`and dehvers
`transfers
`schs, assigns,
`lenmam
`hereby
`specified
`in the amount
`Receipts
`to and under
`its future
`crest
`in,
`purchases
`Purchaser
`he "Purchase
`specRied
`heimy
`Price"L
`hereby
`of
`Price on behalf
`the Purchase
`tor
`(the "Purchased
`unount
`Receipts")
`h retains
`no right,
`agrees
`that
`Merchant
`Partners.
`tam syndicate
`hereby
`in the PurchasedReceipts.
`emlil
`or otherwise,
`
`all of
`without
`absolutely,
`recourse,
`for
`below (the "Purchased
`Amount")
`of
`in the amount
`such future Receipts
`and/or
`itself
`as As
`of
`or on behalf
`itself
`intere
`or other
`title,
`ownership
`
`its
`the
`the
`
`from the
`rv
`
`and shall n o
`
`H d n
`wt
`by Menhan
`Pu
`se
`
`ep
`
`to Purchaser
`shall be delivered
`Amount
`the Purchased
`that
`and Purchaseragree
`Merchant
`L2
`below. Merchant
`set
`forth
`of Receipts
`(the "Specified
`percentage
`of
`the specified
`the collection
`of
`Percentage")
`three (3) months
`is approximmely
`the past
`receipts
`its average
`Percentage
`of
`em
`the Specified
`during
`daily
`shall establish.
`Merchant
`below (the "Specific
`amount
`set
`forth
`specific
`Daily Amount")
`daily
`Obligations
`have been irrevocaMy
`all Merchant
`and until
`this Agreement
`of
`the duration
`during
`selected
`financial
`institution
`bank or other
`at a commercial
`(the "Specified
`account
`Account")
`authorizes
`(the "Financiallnstitution
`). Merchant
`to Purchaser
`acceptable
`hereby
`irrevocaNy
`n
`until Perchaser
`Daily Amount
`to the Specific
`equal
`in an amount
`Account
`to the Specified
`u
`may affect ACH Debits
`A
`to the Specified
`Purchaser
`Obligations,
`to all Merchant
`muount
`equal
`occurm
`that on the Business Day prior
`to a legal hank holiday
`provided
`to the Specific Daily Amount,
`nnount
`equal
`in an amount
`to the Specified
`Account
`Purchaser may affect an ACH Debit
`. ,iness week
`through
`Friday),
`(Monday
`the Specific DailyAmount
`
`..
`
`upon Merchant's
`in
`success
`Receipts will depend
`the Merchant's
`that
`acknowledge
`and Purchaser
`Merchant
`Irom and after
`daily Receipts
`average
`that Merchant's
`of payment
`therefor,
`and the collection
`and services
`s moducts
`(3) months
`the three
`daily Receipts
`of Merchant's
`less than the average
`may be more
`or
`Ageemem
`during
`Receipts will
`be
`of Merchant's
`the Specified
`Percentage
`that
`is no assurance
`and that
`there
`f thia Ageement
`is no time period
`Amount.
`There
`to collect Receipts
`to the Purchased
`amount
`in a total
`equal
`Purchur
`required
`rate
`or
`is no interest
`by Purchaser
`and there
`he collected
`of Receipts must
`Amount
`he Purchased
`n
`because Merchant
`anticipates
`than Purchaser
`arise more
`H Receipts
`therewith.
`assooted
`n s hedule
`slowly
`ceas
`or othentise
`bankrupt
`in full because Merchant
`becomes
`is not collected
`Amount
`the Purchased
`if
`GWs, or
`unless Merchant
`!x
`to Purchaser
`will have no obligation
`or
`of business, Merchant
`course
`liabilhy
`ons in the ordinary
`this Agreement.
`to be performed
`under
`on its part
`oNigation
`or other
`covenant
`a representation,warranty,
`1
`
`.
`
`wached
`
`

`

`FILED: KINGS COUNTY CLERK 10/26/2022 10:59 AM
`and Purchaser
`Merchant
`and agree that
`intend
`the transactions
`Consequently,
`provided
`NYSCEF DOC. NO. 2
`a purchase
`and sale of
`future Receipts
`at a discount
`for all purposes
`in no event
`and shall
`to constitute,
`construed
`a loan transaction.
`This Agreement
`has no term but shall
`remain
`Merchant
`have been irrevocably
`Obligations
`satisfied
`in full.
`
`INDEX NO. 531010/2022
`for
`in this Agreemem
`consti
`RECEIVED NYSCEF: 10/26/2022
`or be deemed
`constitute,
`in fun force and
`
`14
`executed
`executed
`
`This Agreement
`shall
`and delivered
`by Merchant
`and delivered
`to Merchant
`
`become
`and
`effective
`binding
`and Purchaser
`funds
`provides
`a counterpart
`of this Agreement.
`
`upon Merchant
`to pay the Purchase
`
`/Guai s
`and Owne
`even
`if Pun h
`Price,
`
`tion 2.
`
`Authorization
`
`of ACH Debits.
`
`. .
`shall
`Merchant
`authorize
`and instruct
`the Financial
`Institution
`to honor
`the ACH Debu .
`and effect
`irrevocably
`med
`by this Agreement
`and delivering
`to the Financial
`completing,
`by properly
`with
`to
`a copy
`executing
`Institution,
`..
`er, a written
`authorization
`in the form attached
`to this Agreement
`as Appendix
`B. Merchant
`substantially
`shall
`imi
`Specified
`Account
`or
`the Financial
`Institution
`without
`the express
`prior
`written
`consent
`of Purchaser,
`which
`ve or withhold
`in its sole discretion.
`Merchant
`shall
`ensure
`that
`all of
`its Receipts
`are deposited
`in or
`I to tht Specified
`provided
`that Merchant
`Account;
`shall only deposit,
`or permit
`to be deposited,
`Purchased
`pecified
`Account.
`Merchant
`shall not block
`or othei wise interfere
`with Purchaser's
`access
`to the Specified
`ACH Debits
`in accordance
`with
`this Agreement.
`of
`the terms
`the foregoing
`provisions
`Notwithstanding
`m 1L Merchant
`may revoke
`such authorization
`and change the fmancial mstitution
`at which
`it maintainsa
`deposharv
`upon the irrevocable
`satisfaction
`in full of all Merchant
`Obligations.
`
`of
`
`..
`
`12
`shall pr operly
`Merchant
`and deliver
`execute
`to Purchaser
`a Bank Login Authorization
`complete,
`in the lo
`to this Agreement
`tached
`as Appendix
`C and will
`provide
`with
`all such other
`Purchaser
`access codes and other
`interma
`or documents
`to enable
`Purchaser
`to affect
`the ACH Debits
`provided
`for
`in Section
`L2
`or elsewhere
`necessary
`m
`as well
`as all monthly
`bank
`Agreement,
`statements
`to the Specified
`upon Pun h
`Account,
`relating
`promptly
`Merchant
`shall
`be responsible
`for, and shall
`pay upon
`any fees or costs
`incurred
`by Purcluse
`demand,
`dishonor
`of an ACH Debit
`permitted
`by this Agreement.
`Purchaser
`shall
`in no event
`be responsible
`or Eh
`the Financial
`Institution
`for any fees, costs or other
`expenses
`or
`from or
`in connection
`wit h an
`arising
`resulting
`Debit
`transaction
`or overdraft
`that may result
`from Purchaser
`or attempting
`to ellect
`an ACli Dehit p
`effecting
`Agreement.
`
`.
`
`mer:
`
`2,3
`Without
`or MU
`the express
`consent
`prior written
`of Purchaser.
`which
`nmy eve
`Purchaser
`willnot
`(a) permit
`netion, Merchant
`to occur or suffer
`to exist any event
`that
`ould cause the div msion
`of m
`3 to any account
`a financial
`with
`institution
`other
`than
`the Financial
`Institution
`or
`to any account
`the I
`with
`hm other
`than the Specified
`W Account
`(b) change
`the arrangements
`the Financial
`with
`Account;
`to
`respect
`Institution
`or with
`or
`the relevant
`access
`codes
`or other
`thereto
`information
`respect
`with
`in any way
`is adverse
`that
`or
`make
`any promise
`or offer with
`respect
`to, or provide,
`economit
`incentive,
`(d) directly
`indirectly
`any
`b as, but not
`limited
`points
`for payment
`by credit
`card or any other method
`to,
`other
`than cash, a personal
`loyalty
`.
`h equivalenh
`the effect
`or
`resull
`of which
`could
`be to (i) discourage
`the generation
`of a Receipt
`that
`is not
`pecified
`or
`Account.
`induce
`a customer
`of Merchant
`to pay for Merchant's
`goods or services
`with
`any means
`permnM
`check orother
`cash equivalent:
`or
`-
`take any other
`action
`that could
`have any adverse
`effect upon
`(e]
`, Ui
`ations
`or Purchaser's
`rights
`or
`remedies
`under
`this Agreement
`or fail
`to take any action
`ifsuch
`failure
`could
`.. 3uch adverseelfect.
`
`o
`or
`
`mn 1
`
`Reconciliations.
`
`Either
`3.1
`of Merchant's
`a reconciliation
`request
`under
`account
`this Agreement
`Party may
`written
`notice
`to the other Party, Promptly
`upon
`a Reconciliation
`Request
`by providing
`Request")
`receiving
`and together
`with
`any a Reconciliation
`Request made
`provide
`to Purchasm
`Merchant
`shall
`by Merchant,
`complete
`copies
`of all bank
`statements
`to the Specified
`Account
`and aff monthly
`st atem
`relating
`n y or oh
`financial
`institution
`at which Merchant
`or any ofits Affiliates
`maintain
`or have maintained
`a deposi
`the date of
`this Agreement
`through
`the end of
`the calendar
`month
`prior
`to the calenda
`m
`immediately
`Reconciliation
`Request
`is made
`the "Account
`Statements").
`Any Reconciliation
`Requmt
`(collectively,
`given
`in accordance
`with the notice
`provisions
`set
`forth
`in Section
`11 12.
`
`sh)
`
`h
`
`(a 'Eetominate
`from PC
`o
`
`As soon
`3.2
`hant without
`charge,
`after
`mt originated
`ount of Receipts
`haser pursuant
`endar month
`
`after
`
`.
`
`N tha
`as reasonably
`of all Account
`receipt
`practicable
`Statement
`a statement
`(a "Reconciliation
`of R
`that
`sets forth:
`the total
`amount
`Statement")
`(a)
`equal
`this Agreement,
`the date of
`to the product
`of
`the amount
`and dx
`the Speutied
`Percentage
`(b)
`that originated
`after
`the date ofthis
`and (c)
`the aggregate
`effected
`Agreement,
`amount
`of ACH Debits
`to Section
`L2. The Reconciliation
`Statement
`shall provide
`the foregoing
`information
`as of
`the last day
`prior
`to Purchaser's
`receipt
`of
`the Reconciliation
`Request.
`immediately
`
`2
`
`

`

`FILED: KINGS COUNTY CLERK 10/26/2022 10:59 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 531010/2022
`
`RECEIVED NYSCEF: 10/26/2022
`
`Ret onciliation
`ath
`Statement
`be final,
`shall
`and conclusive
`on Merchant,
`absent
`n1anifest
`binding
`error.
`u Business
`Days
`the delivery
`after
`of a Reconciliation
`Purchaser
`shall
`Statement,
`either
`into
`deposit
`the
`count
`the amount,
`if any.
`by which
`the amount
`in clause
`described
`(c) of Section
`3.2 as set
`in such
`forth
`n
`ion Statement
`exceeds
`the amount
`described
`in clause
`of Section
`3.2 as set
`fm th in such Recondliati
`(b)
`en . or shall debit
`by ACH Debit
`the Specified
`Account
`in the amount,
`if any, by which
`the amount
`descobeti
`m cl
`St ttion
`3.2 as set
`forth
`in such Reconciliation
`Statement
`exceeds
`the amount
`described
`in clause
`(c) of Suchou
`torth
`in such Reconciliation
`Statement.
`3.4
`in the event
`that Merchant
`fails to deliver
`all such Account
`shall have no obligation
`under
`this Agreement
`or otherwise
`to provide
`such Reconciliation
`Request.
`A failure
`by Merchant
`to makea Reconciliation
`Account
`Statements
`pursuant
`to Section
`3.2 with
`respect
`to a Reconciliation
`Merchant
`ofits
`to make a Reconciliation
`right
`Request
`in accordance
`with
`Section
`Certain
`Fees.
`Adjustments;
`
`....
`
`.
`et
`
`4·.
`
`Statements
`on a timely
`a Reconciliation
`Statement
`Request with respect
`to
`shall not conshtute
`Request,
`this Section
`3 on a future
`oxaeon
`
`basis. Purch
`with
`po n
`a
`
`.
`
`4.1
`and in addition
`to Merchant
`s right
`to make a Recondliation
`Notwithstanding
`11, Merchant
`request
`that Purchaser
`and Purchaser
`may
`in it
`sole distrction
`adjust,
`n
`ad
`Specific Daily Amount,
`any Fee or any other
`payment
`due urnier
`this Agreement
`to a pert en
`appropriate
`in its sole discretion.
`to the contrary
`in this Agreement
`Notwithstanding
`anything
`urchaser
`and Merchant,
`upon
`the occurrence
`of an Event
`of Default,
`without
`automatically,
`um Purchaser,
`the Specified
`Percentage
`shall be increased
`to 100% and the entire
`remaining
`h:wed Amount
`(the "Purchased
`Amount
`shall
`become
`due and payable.
`Balance")
`immediately
`In addition
`to the foregoing,
`Merchant
`be responsible
`shall
`for and shall
`pay when
`due all
`fees, costs and
`ed for
`in Appendix
`A attached
`to this Agreement
`"Fees"). Appendix
`A is hereby
`incorporated
`(collectively
`into
`af
`this Agreement
`as if set
`forth
`in this Agreement
`in full. Subject
`to applicable
`law, Purchaser
`may apply
`A hereunder
`to the Merchant
`Obligations
`in such manner
`as Purchaser
`chooses
`in its solediscretion
`
`or an aninun
`or any other
`any demand
`uncollected
`
`aenenn
`or oth
`porti
`
`ap m + a
`
`REPRESENTATION
`MADE BY MERCHANT
`OR OWNER OR GUARANTOR
`IN CONNECTION WITH THIS AGREEMENTMAY
`: A UTE
`A
`SEPARATE
`CAUSE
`0F
`ACTION
`FOR
`FRAUDULENT
`FRAUD,
`INDUCMENT
`OR
`INTEN I10NM
`i w i·i)RESENTATION.
`
`Purchase
`
`Price:
`
`40,000.00
`
`Specified
`Percentage
`
`Estimated
`DailvAmount:
`
`Specific
`
`Purchased
`
`Amount:
`
`IN WITNESS WHERE0F,
`
`the Parties
`
`have duly executed
`
`and delivered
`
`this Agreement
`
`as of
`
`the tiate
`
`t abo
`
`MlBCllANT
`
`(#11
`
`NDRES
`F ZULUAGA
`une and Title):
`
`' MNTOR
`
`#1
`
`RES I ZULUAGA
`une):
`
`LE1DRhillARA.N.IORR
`
`sy
`
`(Signature)
`
`'--------
`
`gn Here
`
`Signature)
`
`(Signature)
`
`(Signature)
`
`Name:
`Title:
`
`

`

`FILED: KINGS COUNTY CLERK 10/26/2022 10:59 AM
`NYSCEF DOC. NO. 2
`Mi RCHANT CASH ADVANCE
`
`TERMS AND CONDiTIONS
`
`AGREEMENT
`
`INDEX NO. 531010/2022
`
`RECEIVED NYSCEF: 10/26/2022
`
`by ACH Debits).
`
`n 1 Definitions.
`5:
`
`Capitalized
`
`terms
`
`used in this Agreement
`
`shall have therespective
`
`meaningsset
`
`forth
`
`hefow in this Sectio.
`
`means a direct
`ansactions
`
`debit
`transfer
`that
`in the United States.
`
`is transacted
`
`through
`
`the Automated
`
`Clearinghouse
`
`(ACHj
`
`electronic
`
`network
`
`atenlellts
`
`llas the meailing
`
`set
`
`forth
`
`in Section
`
`3.1.
`
`or
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`9.
`
`Ari‰iate"
`
`of any Person means any other Person
`
`controlling,
`
`controlled
`
`by or under
`
`common
`
`control
`
`with such th
`
`"Agent"
`
`means Purchaser,
`acting
`Agreement
`and the transactions
`
`in its capacity
`as the administrative
`contemplatedhereby.
`
`agent
`
`for
`
`the Syndicate
`
`Partners
`
`in conn
`
`"Agreement"
`
`has the meaning
`set
`forth
`and other modifications
`and restatements
`includes
`theseTerms.
`
`in the heading
`to this Agreement
`thereof.
`Any reference
`herein
`
`and includes
`an even
`to this "Agreement"
`
`o
`this M
`
`or
`
`"Ancillary
`delivered
`metemplated
`tatements
`
`Document"
`
`by Merchant
`hereby
`thereof.
`
`means
`the Guaranty,
`a Confession
`of
`judgmen
`and
`and/or
`Owner/Guarantor
`pursuant
`to
`r in connect
`and
`in each
`case
`includes
`all
`extensions,
`renewais,
`
`ods m m ut d
`
`.
`
`on wit h th
`amendments
`
`m
`other modilicaim
`
`and
`
`CaSC"
`
`Upicy
`whng
`
`under
`
`ineans
`Pederal
`
`bankruptcy,
`any
`or State law.
`
`insolvency,
`
`arr angement,
`
`reor ganization,
`
`liquidation
`
`or other
`
`debt-re!
`
`ci
`
`commercial
`to be open
`
`means
`ution,
`rule or
`
`any day on which
`are
`not authorized
`regulation.
`
`banks
`in New York, New York, or
`or are required
`to be closed
`
`in the principal
`for
`commercial
`
`place of business
`of
`transactions
`under
`
`t o Default"
`
`has the meaning
`
`set
`
`torth
`
`in Section
`
`7. l.
`
`ees"
`
`"Financial
`
`has the meaning
`Institution"
`
`set
`
`forth
`
`in Section
`
`4.2.
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`L2.
`
`"Guaranty"
`
`remnvals,
`
`the guaranty
`means
`at
`the end of
`amendments
`and other modifications
`
`this Agreement
`executed
`by Owner/Guarantor
`and restatements
`thereof.
`
`and im lu
`
`"Liens"
`
`has the meaning
`"Merchant"
`
`set
`
`forth
`
`in Section
`
`6.3.
`
`has the meaning
`
`set
`
`forth
`
`in the heading
`
`to this Agreement.
`
`"Merchant
`
`Agr eement"has
`
`the meaning
`
`set
`
`forth
`
`in the heading
`
`to this Agreement.
`
`ch mt Confidential
`
`Information"
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`9.
`
`acilant
`
`Obligations"
`
`means
`the Purchased
`Amount
`Balance,
`us of Merchant
`to Purchaser
`to this Agreement
`pursuant
`es of
`court
`costs and fees and expenses
`investigation,
`
`together
`with
`any and all Fees and all other
`and any other Antillary
`all
`Document,
`including
`of attorneys
`and other
`professionals.
`
`payment
`fees, coata
`
`nor means
`
`the member,
`
`shareholder
`
`or other
`
`owner
`
`of Merchant
`
`who has executed
`
`this Agreement
`
`and/or
`
`and "Parties"
`
`have the respective
`
`meanings
`
`set
`
`forth
`
`in the heading
`
`to this Agreement,
`
`except
`
`that
`
`in Sedion
`
`1
`
`

`

`FILED: KINGS COUNTY CLERK 10/26/2022 10:59 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 531010/2022
`
`RECEIVED NYSCEF: 10/26/2022
`
`tenus
`"Party
`Document.
`
`and "Parties"
`
`shall also include
`
`any Owner/Guarantor
`
`that has executed
`
`this Agreement
`
`or any Aixii
`
`"Person"
`
`partnership,
`
`means
`joint
`
`any individual,
`venture,
`trust,
`
`corporation,
`association
`
`limited
`or other
`
`or general
`entity.
`
`partnership,
`
`limited
`
`liability
`
`conpmi3.
`
`i
`
`"Proceeding"
`
`means
`
`any claim.
`
`demand,
`
`action,
`
`suit or proceeding
`
`at
`
`law,
`
`in equity
`
`or mh
`
`"Purchase
`
`Price"
`
`has the meaning
`chased Amount"
`
`set
`
`forth
`
`in Section
`
`1.1.
`
`set
`
`forth
`
`in Section
`
`1 'l.
`
`has the meaning
`Balance"
`
`ourhased
`
`Amount
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`4.1.
`
`ed Peceipts"
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`1.1.
`
`Ihe me:ming
`aivisor"
`
`. ...
`
`.
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`9.
`
`set
`
`fort.h in the heading
`
`to this Agreement.
`
`Her
`
`onf
`
`ident
`
`Ï:Ù Injol
`
`ination"
`
`has the meaning
`
`set
`
`forth m Section
`
`9.
`
`eipt"
`
`means any and all payments
`on account
`of or
`in connection
`from,
`after
`the dateofthis
`Agreement
`arising
`with Merchant,
`whether
`relationship
`form.
`
`Request"
`
`Merchant
`f or
`the sale ofgoods
`receives
`or services
`in the ordinm y courst M hu
`with
`any and all
`invoices,
`rights
`and other
`contract
`accounts,
`payinent
`ohly
`or by any customer
`with
`or client
`of Merchant
`or other
`third
`parties
`havin
`such payment
`is made in cash or by check, money
`order, wire
`tr m
`
`"Reconciliation
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`3.1.
`
`"Reconciliation
`
`Statement"
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`3.2.
`
`"Security
`
`Agreement"
`
`means
`
`the security
`
`agreement
`
`set
`
`Iorth
`
`in Section
`
`1 I 11
`
`cific Daily
`
`Amount"
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`1.1
`
`pecified
`
`Account"
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`1.2.
`
`d Percentage"
`
`has the meaning
`
`set
`
`forth
`
`in Section
`
`1.2.
`
`neans
`
`those Persons
`
`that have acquired
`
`a participation
`
`interest
`
`in the transactions
`
`contemplated
`
`by
`
`enis
`
`has the numning
`
`set. forth
`
`in the heading
`
`to this Agreement.
`
`WC"
`
`means
`
`the Uniform
`
`Commercial
`
`Code as in effect
`
`in the jurisdiction
`
`in which
`
`the Merchant
`
`is organized.
`
`Section
`
`6.
`Merchant
`
`Representations,
`acknowledges,
`
`Warranties
`represents,
`
`and Covenants
`of Merchant.
`and delivering
`this Agreenu
`By executing
`to and with Purchaser m tollo
`covenants
`and agrees
`warrants,
`
`6.1
`Organization
`on the hrst pe
`and Good Standing.
`is the type
`Merchant
`of entity
`specified
`and is duly
`organized
`and in good
`in its jurisdiction
`of organization
`on the fint
`specified
`standing
`Merchant
`is duly qualified
`or
`to do business
`licensed
`in each jurisdiction
`in which
`the operation
`of
`busin
`it
`and Mmb
`its properties
`or assets
`requires
`such qualification
`licensing. Merchant
`or
`is a valid
`business
`Agreement
`as a consunn
`for
`business
`purposes
`h o a i n
`for
`and
`r
`not
`f amily
`personal,
`only
`acl<noWledgeS
`and agrees
`it is not entitled
`to the rights
`underStandS,
`and protections
`that me a he
`e i to onsun
`state law with
`respect
`to consumer
`loans.
`
`.
`
`.
`
`Authorization.
`
`Merchant
`
`has full power
`
`and authority
`
`to execute
`
`and deliver
`
`this Agreement
`
`and any Ancilla
`
`

`

`FILED: KINGS COUNTY CLERK 10/26/2022 10:59 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 531010/2022
`
`RECEIVED NYSCEF: 10/26/2022
`
`lit
`is a party,and
`and pei
`toincur
`form its obligations
`under
`this Agreement
`and each such Ancillary
`Doctunent.
`han ;u!! capacity,
`o at
`<md authority
`power
`to execute
`and deliver
`this Agreement
`on behalf
`of Merchant
`and any
`t
`is a party,
`which
`it
`and to incur
`and perform
`its obligations
`under
`each such Ancillary
`Document.
`eacn such Owner/Guarantor
`have duly authorized,
`executed
`and delivered
`this Agreement
`and any such Ancillary
`and hind w
`d each of Llus Agn ement
`and any such Anciliary
`Document
`constitutes
`their
`respective
`valid
`legal,
`oilS enforC0able
`against
`tllem in dCcordance
`with their
`respective
`ternis.
`
`.
`
`6.3
`No Conflict
`the execution,
`Neither
`nor performance
`of
`this Agreement
`or any Ancillary
`Dorum
`delivery
`or any Owner/Guarantor
`Merchant
`does or will, with
`or without
`of notice
`the giving
`or
`of
`the passage
`time, or both
`(a)
`cause a default
`or give rise to a right
`of acceleration
`breach,
`with,
`violate,
`in favor
`of any third
`Person
`under
`(1 the
`on Mm h
`of Merchant
`documents
`or any
`such Owner/Guarantor;
`rule
`or
`regulation
`law,
`(ii)
`any
`binding
`or
`Owner/Guarantor;
`trust
`or other
`(iii) any contract,
`or armage
`agreement,
`commitment
`understanding,
`to which Merchant
`or oral,
`or any such Owner/Guarantor
`is a party
`or by which
`any of
`or
`their
`them.
`is bound;
`require
`the consent,
`assets,
`authorization
`or approval
`of, or
`the giving
`of notice
`(b)
`to, any
`under
`any applicable
`rule or
`or
`result
`in the creation
`of any claim,
`thar
`law,
`regulatmn;
`authority
`(c)
`of m ±d
`option,
`right, mortgage,
`equity,
`lien
`or other
`interest,
`encumbi
`ance
`pledge,
`security
`x
`upon any or all of
`the properties
`or assets of Merchant
`(collectively,
`or Owner/Guarmu
`"Liens")
`M
`
`t
`. .
`
`re
`
`.
`e. n
`
`Financial
`
`Condition
`
`and Financial
`
`Information.
`
`or
`
`alon
`
`All of
`the information
`and statements
`made
`in Merchant's
`the purchase
`for
`application
`and sale transam
`in this Agreement
`are true,
`correct
`and
`complete.
`will
`Merchant
`Purchaser
`of su
`if any
`notify
`promptly
`and cm mt
`or statement
`is no longer
`correct
`or complete.
`financial
`true,
`Merchant's
`complete
`statements,
`true,
`±
`hwe
`been furnished
`to Purchaser.
`present
`in all material
`respect
`the financial
`condition
`and results
`of
`fairly
`hant at
`respective
`their
`dates, and for
`the periods
`then ended, and since those dates there
`has been no material
`nuncial
`or otherwise,
`in the business,
`financial
`results
`of operations,
`assets or liabilities,
`operations,
`condition,
`no ship of Merchant.
`statements
`Any financial
`delivered
`by Merchant
`to Purchaser
`pursuant
`to this Agreement
`orrect
`and complete
`and will
`present
`in all material
`the financial
`respects
`condition
`and results
`of operations
`fairly
`hant as of
`their
`respective
`dates and for
`the respective
`periods
`then ending. Merchant
`shall promptly
`advise Punk
`mterial
`in its business,
`financial
`pr
`adverse
`change
`results
`of operations,
`operations,
`assets,
`condition,
`liabilitim,
`nenhip.
`provide
`to Purchaser
`five (5) Business Days after Purchaser's
`Merchantshall
`within
`request
`therefor.
`true.
`statements
`to Merchant
`s Ika
`d complete
`copies
`ofall
`such other
`financial
`bank
`or other
`document.s
`statements,
`relatinj;
`condition
`or
`results
`all ofwhich
`shall be true, correct
`and complete.
`ofoperations,
`
`(b)
`
`financial
`Merchant's
`investigate
`to
`agents
`its
`and
`Purchaser
`authorizes
`Merchant
`statements. æ re
`financial
`any bank or
`to Purchaser
`and will
`provide
`and financial
`worthiness
`history,
`of
`this Agramen
`after
`the execution
`time
`in its sole discretion
`prior
`to or at any
`deems
`necessary
`credit
`son ims :md f n
`by the various
`release
`ofsuch
`information
`as acceptable
`for
`Agreement
`shall be deemed
`from time to time as a d m
`to such information
`updates with
`respect
`Pun:haserisauthorized
`to request
`p
`to Purchaser
`Merchant
`.nni
`or
`to provide
`shall
`authorize
`its bank(s)
`discretion.
`Merchant
`banking
`by thinAgreement.
`the transactions
`contemplated
`to assist Purchaser
`in evaluating
`history
`
`mpm
`
`(c)
`
`as Owner/mu
`of Merchant
`and/or
`on behalt
`this Agreement
`and each Person
`Merchant
`signing
`and each owner/Guarano
`Merchant's
`to discloseinformation
`authorizes
`Purchaser
`himself
`personally,
`concerning
`that Purchaser
`and business
`conduct
`to agents, Affiliates.subsiÎa&
`bureau
`reports
`credit
`obtains)
`ding (including
`and each Owner/Guarantor
`bureaus. Merchant
`and credit
`Purchaser's
`e Partners,
`sources
`funding
`reporting
`or any of
`against
`by law any claim for damages
`Purchaser
`to the maximum
`extent
`permitted
`and releases
`or
`undertaken
`by or on behalf
`of Purchaser
`permitted
`by this Agreement,
`) mvestigation
`(ii)
`by this Agreement.
`mtted
`
`heA
`its Affiliates
`disclosure
`
`of
`
`.
`
`the properties
`to all of
`and marketable
`to Assets. No Liens. Merchant
`complete
`has good,
`Title
`that may be inconsistent
`rights
`or
`interests
`or any other
`free and clear
`of any and all Lions
`n its busmess,
`or suffer
`will not
`permit
`to the interests
`of Purchaser.
`Merchant
`or adverse
`uns contemplated
`incur,
`hereby,
`Receipts.
`on the Purchased
`
`title
`
`and assets
`the
`with
`to exist
`.
`
`in the ordnary
`its business
`conduct
`shall
`Laws. Merchant
`with
`Compliance
`of Business;
`Conduct
`o
`the same level as on the dw
`least at
`at
`its business
`to continue
`and shall use its best efforts
`with
`past practice,
`consistent
`01
`all Merchant
`that until
`agrees
`reason,and
`tocloseits
`business
`Merchant
`has nocurrentplans
`Agreement.
`forany
`hasis
`for n nova
`on a temporary
`will
`close its business
`in full, Merchant
`not
`been satisfied
`irrevocably
`Purchaserm
`consent
`which
`written
`consent
`of Purchaser,
`the expressprior
`similar
`purposes
`without
`
`cr
`
`6
`
`

`

`FILED: KINGS COUNTY CLERK 10/26/2022 10:59 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 531010/2022
`
`RECEIVED NYSCEF: 10/26/2022
`
`in connection
`Price
`the Purchase
`of
`use the proceeds
`shall
`Merchant
`discretion.
`solely
`not make an
`will
`of businesi
`enurse
`the ordinary
`any debts outside
`incur
`will not
`Merchant
`:tion
`or on
`the debts
`liable
`for
`become
`or otherwise
`or guarantee
`to any Person
`of credit
`o n n
`n
`n
`is cu
`lialit
`cour se of business.
`Mer
`in the oldinary
`instrunients
`of negotiable
`.+Îoisement
`an
`es and asset
`proper
`to its business,
`rules and regulations
`applicable
`operations,
`all
`to comply
`with
`laws,
`lance
`its busmess
`in comp
`force and effect and operate
`to maintain
`in full
`force and effect, and will
`continue
`full
`and assets as and wha
`and lease its properties
`to cnvn, operate
`and licenses
`authorizations
`y or advisable
`permits,
`Merchant
`shall pay
`engaged. Without
`the foregoing,
`in whichit
`is presently
`and to conduct
`the business
`.u e ocated
`limiting
`real
`if applicable,
`sales and use taxes and,
`employment
`taxes and withholdings,
`taxes on a timely
`basis,
`including
`. N the avoidance
`it will not
`by Merchant
`that
`or agreement
`a covenant
`6.6 does not constitute
`of doubt,
`this Section
`require.
`its controlso
`beyond
`business
`in the Merchant's
`circumstances
`should
`M business
`
`the operat
`
`i
`
`.
`
`.
`
`with
`loan
`
`.
`
`..
`
`the purchase,
`for
`Price is in full payment
`The Purchase
`as to the ReceipM and Payments.
`Lertain M uters
`the Purche
`of
`value
`the fait market
`and equals
`to this Agreement
`pursuant
`t}1e Putun? Receipts
`of
`n djScount,
`M ,
`the deliverv
`or
`action
`any other
`without
`under
`this Agreement.
`the funding
`and upon
`Purchaser
`has purchased
`s
`the Pun hased Receipts
`to all
`and marketable
`title
`complete
`shall havegood,
`instrument
`document
`or
`by Merchant,
`re+hmam
`L3, a court
`Section
`free and clear of any and all hiens.
`n the Purchased
`Receipts
`If, notwithstanding
`arise,
`any m!h
`determhies
`that
`as a loan
`in this Agreement
`for
`transaction,
`and sale transaction
`provided
`ilm purchase
`of & hW
`are in excess
`payments
`that
`such
`determines
`constitute
`to this Agreement
`interest,
`pursuant
`Purchaser
`in this Agreement
`providetl
`for
`that
`the transactions
`determines
`law or otherwise
`by applicable
`permitted
`he adju
`Amount
`shall automatically
`Price or the Purchased
`the Purchase
`laws ofany
`jurisdiction,
`usury
`to Mm
`refuml
`shall promptly
`law. Purchaser
`by applicable
`permitted
`amount
`the maximum
`equal
`that will
`not. cont
`that Merchant
`intended
`it heing
`lawful
`the maximum
`in excess of
`amount,
`by Purchaser
`received
`any payme
`in any manner
`whatsoever.
`or
`to receive
`or
`not contract
`receive,
`that Purchaser
`indirectly
`directly
`applicablelaw.
`under
`which may be paid by Merchant
`
`at an
`
`.
`
`n
`this Aµ
`on the date of
`ment,
`the six (6) months
`Pending.
`No Bankruptcy
`ending
`6.8
`During
`(b) any pet
`Case;
`or has commenced
`(or contemplates)
`(a) any Bankruptcy
`has contemplated
`n r/Guarantor
`sun
`the marsha
`for
`person
`ung,
`liquidator
`or other
`of a receiver,
`the appointment
`administrator,
`Wing
`seeking
`has been no involuntm
`and there
`of
`its creditors,
`the benefit
`for
`(c) an assignment
`or
`or assets;
`its properties
`on of
`purposes. Neh
`the foregoing
`for any of
`or Owner/Guarantor
`against Merchant
`is pending
`brought
`or
`Proceeding
`as they mature. Men h
`to pay its debts
`its inability
`or has admitted
`in writing
`is insolvent
`MM nor Owner/Guarantor
`that any such
`and it does not anticipate
`or other Proceeding
`Case, petition
`any such Bankruptcy
`cipate
`commencing
`this
`of doubt,
`the avoidance
`For
`(12) months.
`twelve
`the next
`against
`it durmg
`be filed
`will
`don or Proceeding
`subject
`to a
`or become
`commence
`not
`it will
`that
`by Merchant
`or agreement
`a covenant
`onstliute
`so require.
`control
`beyondits
`business
`in the Merchant's
`circumstances
`should
`(12) months
`next
`twelve
`
`.
`
`.
`
`1
`
`b
`
`agreement
`arrangement,
`into
`enter
`not
`shan
`has
`and
`not
`any
`14unding. Merchant
`tùpiui
`Working
`coli
`oh a loan against,
`in the torm of a purchase
`Receipts, whether
`the Purchased
`involves
`to or
`relates
`that
`uent
`tu
`or
`or
`receipts
`cash deposits
`of credits
`against, Receipts,
`or purchase
`transfer,
`na or
`the sale, assignment,
`factoring
`may m
`b with
`Purchaser
`which
`express written
`prior
`consent,
`Purchaser's
`without
`than Purchaser
`other
`any Person
`perscm in or
`any third
`with
`this Agreement
`information
`may share
`Purchaser
`not give in its sole discretion.
`regarding
`satisfmi
`6.9. Upon the irrevocabh
`this Section
`of
`the provisions
`with
`is in compliance
`Merchant
`whether
`determine
`6.9 shallterminate.
`in this Section
`contained
`the restrictions
`all Merchant
`Obligations,
`
`o
`
`6.10
`interruption
`Purchaser
`
`Insurance.
`policies
`insurance
`of such insurance
`proof
`
`in full
`will maintain
`Merchant
`and against
`amounts
`in such
`upon request.
`
`force
`such
`
`hability.
`and effect
`propnty
`as are satisfactory
`risks
`
`and
`to Parth
`
`will not conduct
`Change of Name or Location. Merchant
`6.1 I
`the location
`its name or
`or change
`to this Agreement
`in the heading
`forth
`notificanon
`express written
`Purchaser
`of business without
`|ms
`providing
`; hchange.
`
`un
`us busirmss(es)
`its incorporatioa
`of
`least
`at
`twenty
`
`o
`or other
`(20) Busines
`
`a
`to file
`intention
`its
`of
`notice
`written
`shall give Purchaser
`ldvents. Merchant
`of Certain
`Notice
`wntten
`shall give Purchaser
`Case. Merchant
`of any Bankruptcy
`to the filing
`five (5) Business Days prior
`Case at least
`ten (1tK
`least
`7 I(d ) at
`or Section
`in Section
`described
`any transaction
`7.&c)
`into or consummate
`nuon to enter
`least one (1)
`of at
`notice
`advance
`shall give Purchaser
`Merchant
`of any such transaction.
`to the closing
`wr
`to effect ACII
`Purchaser
`to permit
`Account
`in the Specified
`not be available
`funds will
`that sufficient
`event
`this Agreement.
`of
`the terms
`dance with
`
`

`

`FILED: KINGS COUNTY CLERK 10/26/2022 10:59 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 531010/2022
`
`RECEIVED NYSCEF: 10/26/2022
`
`Certificate.
`Estoppel
`6.13
`at any time,
`will
`Merchant
`and from time
`prior
`from Purchaser,
`notice
`acknowledge
`and deliver
`to Purchaser
`execute,
`and/or
`a statement
`this Agreement
`that
`is unmodified
`and in full
`force and effect
`certifying
`the same is in full
`force and effect as modified
`and stating
`the modification)
`and stating
`or any portion
`thereof
`has been collected.
`
`to time.
`at
`upon
`least one [1] Eusines
`to any other Person
`specified
`hy it
`if
`there
`hm been
`(or,
`the dates on dich
`
`6.14
`marketing
`transactions
`
`Publicity.
`Purchaser
`may include Merchant's
`materials.
`Purchaser
`may in its discretion
`disclose
`contemplated
`hereby,
`
`name in a listing
`of
`to Syndicate
`Partners
`
`its clients
`infonnation
`
`anti
`
`in its ad
`out
`th
`
`15
`s relating
`der
`notices
`
`D/B/A's.
`Purchaser
`may be using "doing
`business
`to this Agreement
`and the transactions
`contemplated
`or filings.
`
`as"
`
`"dba"
`
`or
`hereby,including
`
`in connection
`names
`of UCCd
`the filing
`
`Mth
`financing
`
`stateim
`
`.
`
`CHANT
`AND
`ACKNOWLEDGES
`THAT
`AGREES
`OF
`EACH
`ITS
`REPRESENTA
`LIONS
`ACKNOWLEDGEMENTS,
`i IES. COVENANTS
`AND AGREEMENTS
`SET FORTH IN THIS SECT[0N
`6 OR ELSEWHERE
`IN THIS AGREEMENT
`is
`. T j IAT PURCllASER
`HAS RELIED THEREON
`IN ENTERING
`INTO THIS AGREEMENT
`AND THAT A RREACH OR
`NY 0F
`THEM
`SHALL
`CONSTITIrrE
`A MATERIAL
`BREACH
`OF THIS
`AGREEMENT.
`ALL
`SUCH
`S MD WARRAW!ES
`SHALL
`BE CONTINUlNG
`REPRESENTATIONS
`AND WARRANTIES
`AND SHALL
`IE EXECUTION.
`PERFORMANCE
`AND THE TERMINATION
`OF THIS AGREEMENT,
`UELIVERY,
`EXCEPT
`AS
`W SE EXPRESSin
`PRUV IDED IN THIS AGREEMENT.
`
`7.
`
`Events of Default
`
`and Remedies.
`
`7
`
`Events
`
`of Default.
`
`The occurrenceof
`
`any of the followingevents
`
`shall constitute
`
`an "EyenLoEhtulihere
`
`(a)
`
`breaches
`Merchant
`or violation
`any breach
`[including
`to Section
`events
`pursuant
`6.12)
`agreement
`violates
`any covenant,
`
`or violates
`or other
`obligation
`cont.uned
`agreement
`covenant,
`any
`of Section
`2.2 or Section
`2.1, Section
`23 or any failure
`to providc
`a t
`or any Person
`other
`than
`Purchaser
`to an An illar
`that
`is a party
`or other
`obligation
`ofsuch
`other Person
`contained
`in such Ant
`illary Doconn m
`
`m
`
`(b)
`of any Person
`ov material
`
`representation
`of Merchant
`or warranty
`Any
`in any Ancillary
`than P