Comercial Greenvic, S.A. v. Berry People LLC

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA 6 COMERCIAL GREENVIC, S.A., et al., Case No. 23-cv-03487-PCP

Plaintiffs,

ORDER ON MOTION TO DISMISS

v. 9 Re: Dkt. No. 155 BERRY PEOPLE LLC, et al., Defendants.

12 In this proceeding under the Perishable Agricultural Commodities Act (PACA), defendant HSBC Bank USA, N.A. has moved to dismiss certain intervenors’ claims against HSBC for attorneys’ fees, conversion, breach of fiduciary duty, and unjust enrichment. For the reasons set forth below, HSBC’s motion is granted. Defendant Berry People LLC is a produce wholesaler. This action arises from Berry People’s alleged failure to pay its suppliers. In April 2021, Berry People sold its accounts receivable to HSBC in exchange for an upfront cash advance. As a result, the intervenors contend that HSBC holds assets that are subject to the statutory trust provisions of PACA and must be distributed among the PACA trust claimants. More than twenty plaintiffs and intervenors have asserted PACA trust claims, and proceedings to resolve these…