September 22, 2021, District of Delaware – Debtors Moon Group, Inc., Moon Landscaping, Inc., Moon Nurseries, Inc., Moon Site Management, Inc., Moon Wholesale, Inc., and Rickert Landscaping, Inc. (collectively, the “Moon Entities”) bring an action against KORE Capital Corporation for alleged breach of contract, breach of implied duty, fraudulent misrepresentation, common law fraud and tortious interference with contract.
The Moon Entities is America’s oldest nursery. KORE is a provider of short-term high-rate revolving loans secured by accounts receivables. Allegedly, KORE advanced funds to the Moon Entities under a revolving credit and security agreement.
As alleged by The Moon Entities, KORE attempted to force a cash flow consultant upon them without a contractual basis. When the Plaintiffs reasonably refused to hire the consultant, KORE allegedly refused to make any further advances on the line of credit and terminated it. As a result, the Plaintiffs allege, that they have been damaged – they cannot meet their cash flow needs, risk losing longstanding clients, must locate alternative financing, need to defend themselves against KORE’s spurious confession of judgment action in Maryland, and bear the extensive costs and expenses of the within bankruptcy action wholly necessitated by KORE’s blatant breach of contract.
The Plaintiffs request the Court to enter a judgment against KORE in an amount to be determined at trial for promissory estoppel and order such other relief as the Court deems just and equitable.
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