Kenneth Rudd and BJ Finneran Obtain Rule 11 Sanctions against Adversary and its Counsel
On August 22, 2014, ZEK obtained an order of the United States District Court for the Southern District of New York sanctioning its adversary and her counsel for violation of Rule 11 of the Federal Rules of Civil Procedure. ZEK represents a large mortgage lender that made a mortgage loan to plaintiff in the amount of approximately $1.8 million. After many years of litigation, and after the close of discovery, plaintiff made a motion for leave to file a Fourth Amended Complaint. On behalf of the lender, ZEK opposed the motion and moved for sanctions against plaintiff and her counsel. The Court denied plaintiff’s motion for leave to amend the complaint and granted ZEK’s motion for Rule 11 sanctions against both plaintiff and her counsel. The Court stated, among other things, that it was “baffled” by counsel’s inconsistent arguments, and that plaintiff and her counsel made factual allegations “not likely to be supported by any evidence.” The ZEK team was led by Kenneth C. Rudd and BJ Finneran. The Court’s decision can be found at Hutter v. Countrywide Bank, N.A et al., 2014 U.S. Dist. LEXIS 117847 (S.D.N.Y. Aug 22, 2014).