Renewal Fuels, Inc (RNWF)

[samsamsamiam]

Re: Cann Distributors

https://www.google.com/amp/s/dockets.justia.com/docket/california/candce/3:2020cv02102/357277%3famp

CCSAC, Inc. et al v Pacific Banking Corp et al
CCSAC, Inc. and CANN DISTRIBUTORS, INC.
Justin Costello, PACIFIC BANKING CORP., GRN FUNDS, LLC and Pacific Banking Corp

https://www.leagle.com/decision/infdco20200501f21

https://www.pacermonitor.com/public/case/33184067/CCSAC,_Inc_et_al_v_Pacific_Banking_Corp_et_al

https://www.sec.gov/Archives/edgar/data/1492448/000107997320000675/grnholdings_10k-043020.htm

CCSAC, Inc., a California corporation and CANN Distributors, Inc., a California corporation vs. Pacific Banking Corp., a Washington corporation, Justin Costello, an individual and GRN Funds, LLC, a Washington limited liability company. Case No. 20-cv-02102, filed in the U.S. District Court for the Northern District of California. This case involves claims of plaintiff CCSAC and CANN against Pacific Banking Corp. for breach of contract whereby Pacific Banking Corp. was obligated to (1) make certain tax payments on behalf of plaintiffs; (2) pay certain vendors; and, (3) make timely payroll payments. Plaintiff alleges that: (a) it transferred $2.8 million dollars to Pacific Banking Corp. for these purposes pursuant to contract; (b) Pacific Banking Corp. transferred the funds to GRN Funds, LLC; and (c) defendant Pacific Banking Corp. failed to make the necessary payments under contract, provide a reconciliation, or account for the funds. Defendant GRN Funds, LLC is the majority stockholder of the Company. Justin Costello, the Company’s officer and director is the manager of GRN Funds, LLC. Aside from breach of contract, plaintiffs seek damages for negligence, fraud, declaratory relief/indemnification and an injunction. Plaintiffs seek $2.8 million in compensatory damages. Plaintiffs also pray for punitive damages. Counsel for defendants filed motions to dismiss for lack of subject-matter and personal jurisdiction and for lack of adequate process. Given the early stages of litigation, with pending motions and without the defendants having formally appeared, we are unable to reasonably ascertain what amount of contingent liability, if any, may be attributable to GRN Funds, LLC or Mr. Costello as a result of this action.