The action launched at the New York Southern District Court aims to allow YA to recover the investment it made in EZTD in November 2016.
Chasing a binary options firm to get one’s funds back is a familiar situation to many, with YA II PN, Ltd., a Cayman Islands exempted company, having a taste of that experience too. YA, which has its principal place of business in New Jersey, is now seeking to recover $500,000 from binary options firm EZTD Inc, in which it invested back in November 2016.
The case, captioned YA II PN, Ltd. v. EZTD Inc. (1:17-cv-03455), was launched in May 2017, with the biggest part of the time until now spent on trying to serve the summons to the Defendant. After several extensions of the time to serve the summons, they finally got accepted in October 2017. No answer to the complaint has followed, however. As a result, on January 5, 2018, YA filed a request for the default of the defendant.
The complaint refers to events from November 2016, when YA and EZTD entered into a Purchase Agreement pursuant to which YA invested in a Promissory Note which it acquired thereunder. Under the Purchase Agreement, the company issued to YA a promissory note in an aggregate principal amount of $500,000.
EZTD’s first payment to YA on the Promissory Note was due on February 1, 2017. EZTD failed to make that payment and has continued to fail to make any payment on the subsequent Payment Due Dates of March 1, April 1 and May 1, 2017. These failures, according to YA, constitute Default under the Promissory Note.
As a result of EZTD’s failure to respond or otherwise pay the outstanding amounts due, YA has been forced to bring the action in order to collect the sums due to it. According to the plaintiffs, these actions have caused and continue to cause YA damage in the amount of $500,000 plus applicable interest, attorneys’ fees and costs.
YA II PN accuses EZTD of breach of contract and unjust enrichment. The plaintiff requests judgement in its favor as follows: (a) $500,000 (the outstanding principal amount under the Promissory Note at the time of Defendant’s resignation); (b) Accelerated interest in the amount of $39,342.47; (c) Reasonable attorneys’ fees, expenses and costs associated with YA’s collection efforts on the Promissory Note.