Ammirato v. Duraclean International, Inc.
Duraclean International, Inc.
Federal District Court, Eastern District
Plaintiffs, five individuals, sued defendant for $750,000.00 to recover on loans they made to a cleaning franchise, known as Duraclean Fabric Specialist by J & S, Inc. d/b/a Duraclean Specialists. The franchise was owned by Steven Diaz, and operated under a franchise agreement with Duraclean International, Inc. which provides cleaning services through franchised dealers. Diaz was also a part owner of Duraclean International, Inc. for a period of time. Diaz defaulted on the loans, and was convicted of a crime in New York pertaining to his actions in connection with the franchise.
The case was defended by Robert J. Hindman of our Riverhead office. In an eight day trial before United States Magistrate Judge Arlene Lindsay, the Court found that plaintiffs failed to prove that Duraclean International, Inc. was liable to plaintiffs for the loans, under the theories of joint venture, vicarious liability or apparent authority, and accordingly, the Court found in favor of the defendant. 2011 WL 2730918 (E.D. N.Y) (July 2011)