October 22, 2021, Southern District of New York – Plaintiff Windstream KDL, LLC for the estate of Debtor Windstream Finance Corp, et al. recently sued CMN-RUS, Inc. (“CMN”) to seek reimbursement of excess payments allegedly made by Windstream KDL, LLC (“Windstream KDL”) to CMN.
Allegedly, before filing the bankruptcy petitions, Windstream KDL and CMN entered into several contractual agreements for services that included the provision of rack space and power to each party’s benefit. Plaintiff argues that despite these contractual agreements, CMN purportedly overcharged Windstream KDL $1,008,687.32 for the provision of rack space in Evansville that should have been provided free to Windstream KDL. Plaintiff further alleges that CMN also refused to issue a refund for Windstream KDL’s inadvertent overpayment of $896,703.32 despite being unjustly enriched by funds CMN did not earn.
Accordingly, Plaintiff seeks a declaration that Windstream is entitled to licenses to 15 racks free of charge in CMN’s Evansville facility and that CMN invalidly charged $1,008,687.32 for excess rack space.