Gary Abrams v. Blackburne and Sons Realty Capital Corporation

I. INTRODUCTION & BACKGROUND

This case involves an investment dispute between plaintiffs Gary Abrams, Jeffrey Aran, Stephen Debenedetto, and Preston Rohner, who are individual investors in a hard money loan, and defendants Blackburne and Sons Realty Capital Corporation (“BSR”) and its agents George Blackburne III, Angelica Gardner, and Angela Vannucci, who brokered that loan between plaintiffs, other investors, and a group of borrowers. The underlying allegations of the initial action are known to the parties, and discussed in detail in the Court’s order dated December 2, 2019. See ECF No. 32 (“MTD Order”). In substance, plaintiffs allege that defendants committed fraud and violated other laws by making material misrepresentations in the solicitation materials they sent plaintiffs to induce them to invest in a loan secured by a golf club property known as Royal Hawk. Plaintiffs filed a complaint in this Court on August 9, 2019. See ECF No. 1 (“Compl.”). The complaint asserts ten claims for relief: (1) a federal securities fraud claim against BSR pursuant to the Securities Exchange Act of 1934 (15 U.S.C. § 78}(b), as implemented…