AKF, Inc. v. Bargain Junction, LLC
1:21-cv-01074
N.D.N.Y.Jun 18, 2024Background
- AKF, Inc. d/b/a FundKite (Plaintiff) sued Bargain Junction, LLC and affiliated defendants for breach of contract and breach of performance guaranty in the Northern District of New York.
- Plaintiff claimed Bargain Junction blocked debits from its bank account, violating an agreement requiring delivery of receivables ("Receipts").
- Defendants previously opposed Plaintiff’s motion for summary judgment; the court found insufficient evidence and permitted Plaintiff to renew with more documentation.
- Plaintiff renewed its motion for partial summary judgment, submitting additional documentary evidence, including a signed "Corporate Return Entry Report" from the bank indicating authorization for debits was revoked.
- Defendants failed to properly respond to Plaintiff’s Statement of Material Facts and provided unsworn, unsupported factual assertions.
- The Court granted Plaintiff’s renewed motion for summary judgment on the breach of contract and breach of guaranty claims, reserving the specific performance claim for further proceedings.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Breach of Contract | Defendants breached by blocking debits, violating the agreement. | No block was placed by Defendants; Plaintiff failed to prove the block. | Breach found; summary judgment for Plaintiff. |
| Breach of Guaranty | Guarantors failed to ensure performance of Bargain Junction’s obligations. | Guarantors did not breach because Bargain Junction performed its obligations. | Breach found; summary judgment for Plaintiff. |
| Plaintiff's performance under contract | Plaintiff delivered performance up until the block. | Argued Plaintiff may have breached, without evidence. | Plaintiff performed; Defendants’ argument rejected. |
| Admissibility and sufficiency of evidence | New evidence (bank report) supports claims. | Plaintiff failed to submit adequate evidence of the block. | Evidence admitted and sufficient for summary judgment. |
Key Cases Cited
- Celotex Corp. v. Catrett, 477 U.S. 317 (summary judgment standard articulated)
- Anderson v. Liberty Lobby, Inc., 477 U.S. 242 (summary judgment and genuine issue of material fact standard)
- Hicks v. Baines, 593 F.3d 159 (conclusory allegations insufficient to defeat summary judgment)
- Knight v. U.S. Fire Ins. Co., 804 F.2d 9 (speculation or conjecture insufficient to raise factual issue)