Giorgio

STATEMENT OF FACTS AND PROCEDURE

On May 6, 2011, Synergy, on behalf of its predecessor in interest ASI Management, LLC, filed its original complaint in this action. The original complaint alleged Giorgio “converted the assets of [Synergy]’s assignor by submitting false expense reports resulting in the misappropriation of assets belonging to [Synergy]’s assignor” and “committed fraud by submitting false expense reports to [Synergy]’s assignor with the intent to deceive [Synergy]. [Synergy] reasonably relied on the accuracy of expense reports submitted by [Giorgio]. As a direct result of [Synergy]’s reliance on the representations made by [Giorgio], [Synergy]’s assignor paid moneys to [Giorgio] to which he was not entitled.” Synergy sought compensatory and punitive damages according to proof, in an amount greater than $10,000 but less than $25,000, thereby designating the case as a limited civil case. On May 7, 2011, Synergy personally served Giorgio with the original complaint at a North Carolina airport.2 Giorgio never responded to the original complaint. In his

1All further statutory references are to the Code of Civil Procedure, unless otherwise stated.

2Service was…