People v Sign FX, Inc.

[*1] People v Sign FX, Inc. 2014 NY Slip Op 50925(U) Decided on June 16, 2014 Supreme Court, Dutchess County Pagones, J. Published by New York State Law Reporting Bureau pursuant to Judiciary Law § 431. This opinion is uncorrected and will not be published in the printed Official Reports.

Decided on June 16, 2014
Supreme Court, Dutchess County

People of the State of New York, by ERIC T. SCHNEIDERMAN, Attorney General of the State of New York, Petitioner,

against

Sign FX, Inc. and MICHAEL PALAZZO, Respondents.



50082/14



G. NICHOLAS GARIN, ESQ.

ERIC T. SCHNEIDERMAN

Attorney General of the State of New York

Petitioner

One Civic Center Plaza, Suite 401

Poughkeepsie, New York 12601

MICHAEL A. PALAZZO

and SIGN FX, INC.

Respondents

33 Hickman Drive

Hopewell Junction, New York 12533
James D. Pagones, J.

Petitioner seeks a judgment and order, pursuant to Executive Law §63(12) and General Business Law Article 22-A, providing for the following relief: (1) permanently [*2]enjoining respondents, their, agents, successors, representatives, employees, and any other corporation or entity in which they are a principal, owner, officer or manager, from violating Executive Law §63(12) and Article 22-A of the General Business Law ("GBL") and from engaging in the fraudulent, deceptive and illegal practices alleged in the Verified Petition herein, including, but not limited to, promising customers to perform and complete contracts for signs by certain dates, taking money in advance of completion of the jobs, failing to do the jobs in the time promised and failing to refund the customers' advance payments; making excuses for delays in performance of contacts which excuses are not truthful, failing to return customers' calls and failing to inform them of the status

of contracted services, taking money in advance of completion of jobs for which respondents contracted and failing to do or complete jobs, contracting with customers to fabricate and/or install signs, taking payment in advance of completion of the jobs, failing to do the jobs, and failing to refund the customers' advance payments, and failing to pay small claims judgments rendered against respondents; (2) permanently enjoining respondents, their agents, successors, representatives, employees and any other corporation in which they are a principal owner, officer or manager, from engaging in the business of fabricating, creating, painting or installing signs within the State of New York unless or until a $25,000.00 performance bond is filed with the Attorney General by a surety or bonding company licensed by and in good standing with the New York State Department of Insurance, guaranteeing that respondents comply with any injunction which may be entered herein, the proceeds of that bond to provide a fund for restitution, civil penalties and costs should respondent violate any order entered in this proceeding or should customers be defrauded or damaged by the future conduct of respondents; (3) directing respondents to make full monetary restitution and pay damages to all aggrieved customers, known and unknown, including, but not limited to restitution of $16,992.27, plus interest; (4) directing respondents to pay civil penalties of $5,000.00 to the State of New York for each deceptive act and practice, pursuant to GBL §350-d; (5) awarding petitioner statutory costs against respondents in the amount of $2,000.00 pursuant to New York Civil Practice Law and Rules §8303(a)(6); and, authorizing petitioner to docket as a money judgment any order issued by the Court in this proceeding directing the payment of money by respondents including restitution, civil penalties and costs, pursuant to CPLR §2222.The following papers were read:

Notice of Petition-Verified Petition-1-10

Affirmation-Affidavit-Exhibits 1-4-

Affidavit of Service-Affirmation of Service

Answer-Exhibit A11-12

Reply Affirmation13

Upon the foregoing papers, the petition is granted in its entirety. A corporation or [*3]voluntary association is required to appear by an attorney (see CPLR §321[a]). Here, the answer to the petition is signed by respondent Michael Palazzo on his own behalf and on behalf of respondent Sign FX, Inc. As respondent Michael Palazzo is not an attorney, he cannot appear on behalf of the corporate respondent (id.). Thus, the petition is granted as to respondent Sign FX, Inc. on default.

The sworn answer of respondent Michael Palazzo's fails to controvert any of the allegations in the petition or in any of his customers' affidavits which are attached to the petition as exhibits.

As the petition and supporting papers contain sufficient allegations of fact to merit the relief requested and the respondents have raised no triable issues of fact by an evidentiary showing, but only assert conclusory statements in a general denial, judgment without trial is proper (see Matter of People v. Telehublink Corp., 301 AD2d 1006 [3rd Dept 2003]). Accordingly, the petition is granted in its entirety.The foregoing constitutes the decision and order of this court. Petitioner is directed to submit a judgment consistent with the aforestated on seven (7) days notice within thirty (30) days hereof.

This decision and order has been filed electronically.

Dated:

June 16, 2014

Poughkeepsie, New York

ENTER

_______________________________

HON. JAMES D. PAGONES, A.J.S.C.