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`SUPREME COURT OF THE STATE OF NEW YORK
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`COUNTY OF NEW YORK
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`SUNLIGHT GENERAL CAPITAL LLC,
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`Plaintiff,
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`- against -
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`NOTICE OF ENTRY
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`Index No. 157935/2012
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`CJ S INVESTMENTS INC., CLEAN JERSEY SOLAR
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`LLC, EFFISOLAR ENERGY CORPORATION,
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`Defendants.
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`PLEASE TAKE NOTICE that on September 19, 2018, the September 18, 2018
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`Decision and Order of Hon. Saliann Scarpulla, J.S.C., a copy of which is annexed hereto, was
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`entered with the office of the New York County Clerk.
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`Dated: September 19, 2018
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`NIXON PEABODY LLP
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`/S/ Daniel J. Hurteau
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`Daniel J. Hurteau, Esq.
`677 Broadway, 10th Floor
`Albany, New York 12207
`Telephone: (518) 427-2650
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`Attorneys for Plaintifl
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`T0:
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`James A. Prestiano, Esq.
`The Law Offices of James A. Prestiano, RC.
`15 81 Franklin Avenue
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`Garden City, New York 11530
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`Attorneys for Defendants
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`4836-6908-6323.1
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`SUPREME COURT OF THE STATE OF NEW YORK
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`NEW YORK COUNTY
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`PRESENT:
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`HON. SALIANN SCARPULLA
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`PART
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`IAs MOTION 39EFM
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`Justice
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`--------------------------------------------------------------------------------X
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`moex NO.
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`157935/2012
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`SUNLIGHT GENERAL CAPITAL LLC,
`Plaintiff,
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`_ V _
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`CJS INVESTMENTS INC.,CLEAN JERSEY SOLAR
`LLC,EFFISOLAR ENERGY CORPORATION
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`Defendant.
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`MOTION DATE
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`07/1 “2018
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`MOTION SEQ. NO.
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`003
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`DECISION AND ORDER
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`_______--________---__-________----_-______________--__________-_____________--_x
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`The following e-filed documents, listed by NYSCEF document number (Motion 003) 102, 103, 104, 105,
`106
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`were read on this motion to/for
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`POST JUDGMENT OTHER
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`Upon the foregoing documents, it is
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`Plaintiff Sunlight General Capital LLC (“Sunlight”) moves, pursuant to CPLR
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`5001 and 5004, for a post-judgment order awarding it pre-verdict statutory interest on
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`damages against defendant Effisolar Energy Corporation (“Effisolar”).
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`Sunlight and Effisolar entered into a Confidentiality and Nondisclosure
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`Agreement on March 26, 2010 (the “NDA”). Subsequently, Sunlight presented Effisolar
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`with investment opportunities pertaining to the development and financing of solar
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`projects on certain real estate properties. Sunlight alleged that Effisolar breached the
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`NDA by entering into a purchase agreement with CJS Investments Inc. (“CJS”), on April
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`23, 2010, wherein Effisolar and CJS agreed to develop the properties without Sunlight.‘
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`‘ Sunlight’s complaint in this action also named CJS and Clean Jersey Solar LLC (“Clean
`Jersey”) as defendants. On June 25, 2013, this Court (Judge Kapnick) granted CJS’s and
`Clean Jersey’s motion to dismiss on jurisdictional grounds. Sunlight then initiated a
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`157935/2012 SUNLIGHT GENERAL CAPITAL LLC vs. CJS INVESTMENTS INC.
`Motion No. 003
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`Sunlight commenced this action to, among other things, recover damages for Effisolar’s
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`alleged breach of the NDA.
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`The case proceeded to trial and at its conclusion, on February 15, 2018, the jury
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`found in favor of Sunlight on its claim for breach of the NDA and determined that
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`Sunlight’s damages from the breach were $968,000.
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`Sunlight now moves for an award of pre-verdict statutory interest on the damages
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`of $968,000 from April 23, 2010 to the date of the verdict, February 15, 2018.
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`Discussion
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`Effect of the CJS Settlement
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`In its opposition to this motion, Effisolar submits an attorney affirmation, in which
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`counsel asks the Court to: 1) enter a judgment awarding no damages to Sunlight; or, in
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`the alternative, 2) reduce the jury’s verdict amount of $968,000 by the $275,000 Sunlight
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`received under the CJS Settlement (resulting in a revised damages amount of $693,000).
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`Effisolar asserts that Sunlight’s sole basis for damages regarding the properties was the
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`Memorandum of Understanding that Sunlight entered into with CJS on April 15, 2018
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`(the “MOU”) and that Sunlight “compromise[d]” its claims relating to the properties by
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`entering into the CJS Settlement and thereby waived its claims against Effisolar relating
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`to the properties.
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`lawsuit against C]S and Clean Jersey in New Jersey entitled Sunlight General Capital,
`LLC v. CJS Investments Inc., Clean Jersey Solar LLC, Superior Court of New Jersey,
`Law Division, Monmouth County, Docket 4 MON-L-583-14 (the “New Jersey Action”).
`On April 2, 2015, Sunlight entered into a settlement agreement with defendants CJS and
`Clean Jersey (the “CJS Settlement”) and terminated the New Jersey Action.
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`157935I2012 SUNLIGHT GENERAL CAPITAL LLC vs. CJS INVESTMENTS INC.
`Motion No. 003
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`First, the CJS Settlement was between Sunlight, CJS, and Clean Jersey, and
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`Sunlight did not compromise or waive the claims asserted against Effisolar in this action.2
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`Second, the jury’s damages award was for breach of contract. Therefore, General
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`Obligations Law §15-108, which provides for setoff based on a settlement with a
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`different defendant-tortfeasor, is inapplicable. See Bauman v. Garfinkle, 235 A.D.2d
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`245, 245 (1st Dept. 1997). Moreover, even though the wrongful conduct of Effisolar and
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`CJS relate to the same properties, for Effisolar to be entitled to credit for the C]S
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`Settlement amount, Effisolar and CJS must be able to be held jointly and severally liable
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`for the same damages. See Carrols Equities Corp. v. Villnave, 76 Misc.2d 205, (Sup.Ct.
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`Onondaga Cty.1973), aff'd, 49 A.D.2d 672, 373 N.Y.S.2d 1012 (4th Dept.1975). CJS
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`cannot be held jointly and severally liable for breach of the NDA, which was between
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`Sunlight and Effisolar. For these reasons I decline to reduce the jury’s damages award.
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`Pre-Verdict Interest
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`Sunlight argues that it is entitled to pre-verdict interest from the time that its claim
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`accrued until the date of the verdict at the statutory rate of 9% per annum. Using this
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`formula, Sunlight asserts that pre-verdict interest should be. awarded for the period of
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`2 The Settlement Agreement states that “CJS and/or Clean Jersey shall pay Sunlight the
`sum of Two Hundred and Seventy-Five Thousand Dollars (US. $275,000.00) (the
`"Settlement Sum") in full and final satisfaction of any and all claims that Sunlight may
`have against CJS and/or Clean Jersey that includes, but are not limited to, the claims at
`issue or the Solar Farms Development Memorandums of Understanding, dated February
`2010 and April 15, 2010 between the parties and is the subject of litigation known as [the
`New Jersey Action].”
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`157935l2012 SUNLIGHT GENERAL CAPITAL LLC vs. CJS INVESTMENTS INC.
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`April 23, 2010 to February 15, 2018, and that the total amount of such interest is
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`$682,440.
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`Effisolar counters that Sunlight is not entitled to any pre-verdict interest on the
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`damages award and states that if the Court finds otherwise, the pro-verdict interest should
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`only be awarded on damages of $693,000.
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`CPLR § 5001(a) provides, in relevant part, that “[i]nterest shall be recovered upon
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`a sum awarded because of a breach of performance of a contract.” And, pursuant to
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`CPLR § 5004, “[i]nterest shall be at the rate of nine per centum per annum, except where
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`otherwise provided by statute.”
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`Thus, under the relevant statutes, Sunlight is entitled to pre-verdict interest on its
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`breach of contract damages award at a rate of 9% per year.
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`“Preverdict interest ‘shall be computed from the earliest ascertainable date the
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`cause of action existed’” and “a claim for breach of contract exists on the date of the
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`breach.” Village of[lion v. County ofHerkimer, 23 N.Y.3d 812, 821 (2014) (citation
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`omitted). Here, the cause of action existed on April 23, 2010 when Effisolar breached the
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`NDA by entering into a purchase agreement with ClS. Hence, interest should be
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`computed from April 23, 2010 until February 15, 2018, the date on which the jury
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`rendered its verdict. However, I leave to the Clerk of the Court to calculate the total
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`amount of pre-judgment interest to be awarded.
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`In accordance with the foregoing, it is
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`157935I2012 SUNLIGHT GENERAL CAPITAL LLC vs. CJS INVESTMENTS INC.
`Motion No. 003
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`NYSCEF DOC. NO. 110
`NYSCEF DOC. NO. 111
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`INDEX NO. 157935/2012
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`RECEIVED NYSCEF: 09/19/2018
`RECEIVED NYSCEF: 09/19/2018
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`ORDERED that plaintiff Sunlight General Capital LLC’s motion for a post-
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`judgment order awarding pre-verdict statutory interest against defendant Effisolar
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`Energy Corporation is granted; and it is further
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`ORDERED that, pursuant to the jury’s verdict, the Clerk of the Court is
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`directed to enter judgment in favor of plaintiff Sunlight General Capital LLC and
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`against defendant Effisolar Energy Corporation in the amount of $968,000, together
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`with interest at the statutory rate of 9% from April 23, 2010 until the date of verdict,
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`February 15, 2018, together with the costs and disbursements of the action.
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`This constitutes the decision and order of the Court.
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`9I18/2018
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`DATE
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`CHECK ONE:
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`APPLICATION:
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`CASE DISPOSED
`GRANTED
`SETTLE ORDER
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`D DENIED
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`'
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`SALIANN SCA PULLA, J
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`C.
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`NON-FINAL DISPOSITION
`GRANTED IN PART
`SUBMIT ORDER
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`B OTHER
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`CHECK IF APPROPRIATE:
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`INCLUDES TRANSFER/REASSIGN
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`FIDUCIARY APPOINTMENT D REFERENCE
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`157935l2012 SUNLIGHT GENERAL CAPITAL LLC vs. CJS INVESTMENTS INC.
`Motion No. 003
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