Sanchez v. KTG Multiservices, Inc.

Background

The provided document combines a letter from plaintiffs’ counsel with Judge Rochon’s order directing the non-bankrupt defendants to respond. The letter states that, on July 26, 2023, the court entered a $350,000 judgment against KTG Multiservices Inc., Andrea Catalina Gonzalez, Alveiro Echeverri, and Rosa Martinez, jointly and severally. The letter further states that plaintiffs served post-judgment information subpoenas on September 27, 2023.

Plaintiffs’ counsel said defendants’ counsel reported that Catalina Gonzalez had filed for bankruptcy and asserted that the entire case was automatically stayed. Plaintiffs withdrew the subpoena served on the debtor defendant but maintained that the non-debtor defendants had to respond. According to the letter, the non-debtor defendants had not responded, and defense counsel had not agreed to meet and confer about the issue despite multiple requests.

Legal standards described in the letter

The letter cites Federal Rule of Civil Procedure 69(a)(2), which allows a judgment creditor—someone seeking to collect a judgment—to obtain discovery from a person, including a judgment debtor, to aid enforcement of the judgment. It also cites New York procedures allowing information subpoenas concerning a judgment debtor’s assets and other matters relevant to satisfying the judgment. The letter states that a judgment creditor may ask the court to compel compliance under Federal Rule of Civil Procedure 37(a) and New York Civil Practice Law and Rules section 5224, and that sanctions or contempt may follow a violation of an order compelling compliance.

Plaintiffs’ requests

Plaintiffs asked the court to order the non-debtor defendants to respond fully and properly to the information subpoenas by October 27, 2023, under threat of sanctions, including contempt sanctions. Plaintiffs also asked the court to order Kevin Johnson to comply with professional obligations concerning discovery and to impose sanctions if he did not do so.

Order

Judge Rochon ordered: “The non-bankrupt Defendants shall file a letter not exceeding three pages with the Court by October 27, 2023, responding to this letter.” The order was marked “SO ORDERED” and dated October 25, 2023.

The provided text does not state that the court granted or denied plaintiffs’ requests to compel subpoena responses, impose sanctions, or order sanctions against counsel. It shows only the directive requiring the non-bankrupt defendants to submit a short response. This is an ancillary discovery-related procedural order, not a decision on the underlying claims or on the requested sanctions.