Crestmark v. Cabrera Delandestoy

Background

Crestmark, a division of MetaBank, National Association, brought the action against Eillien Lorena Cabrera Delandestoy and AY-AY Telco Management Services, LLC. The complaint alleged fraud, conversion, civil conspiracy, and violations of New York’s Debtor and Creditor Law. It also alleged that AY-AY Telco withdrew Crestmark’s loan advances to Silver Birch from Teleescrow Account 175306471 and converted those advances for its own use, even though the withdrawals were not permitted by the agreements and loan documents identified in the complaint.

Service and failure to answer

The summons and complaint were personally served on AY-AY Telco’s registered agent, Cabrera Delandestoy, on March 25, 2022. Cabrera Delandestoy accepted service on behalf of AY-AY Telco. Proof of service was filed on July 14, 2022. AY-AY Telco did not answer the complaint, and the deadline for answering expired.

Ruling

The court entered default judgment against AY-AY Telco. A default judgment is a judgment entered after a defendant fails to respond to the lawsuit. The court stated that the complaint adequately pleaded claims establishing AY-AY Telco’s liability as a matter of law. The judgment awarded Crestmark $6,164,777.47, described as a liquidated amount. The Clerk of Court was directed to enter the judgment and close the case. The text provided does not state that a judgment was entered against Cabrera Delandestoy personally.