L.E.K. Consulting LLC v. Amicus Capital Partners, LLC
United States District Court for the Southern District of New York
2020 WL 5535191 (2020)
- Written by Abby Roughton, JD
Facts
L.E.K. Consulting LLC (LEK) (plaintiff) provided consulting services to Amicus Capital Partners, LLC (Amicus) (defendant) pursuant to a contract. In November 2019, LEK sued Amicus in federal district court in New York, asserting breach-of-contract and quasi-contract claims. Amicus never responded to LEK’s complaint, and LEK moved for a certificate of default. LEK and Amicus subsequently began engaging in settlement negotiations and, in April 2020, informed the court of a settlement agreement that required Amicus to make a lump-sum payment to LEK by July 15, 2020. The settlement agreement provided for a complete release of all claims arising from the parties’ original dispute and a specific remedy if Amicus failed to pay LEK the required settlement amount. Nothing in the settlement agreement provided that LEK’s claims would remain active pending Amicus’s performance of the settlement agreement. Ultimately, Amicus failed to pay LEK as required by the settlement agreement, and LEK sought a default judgment against Amicus. Amicus did not object to the default judgment, but the parties could not agree regarding whether the damages owed by Amicus should be based on the original consulting contract between LEK and Amicus or on the parties’ April 2020 settlement agreement.
Rule of Law
Issue
Holding and Reasoning (Failla, J.)
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