Spiro Harrison & Nelson LLC Partners Jason C. Spiro and Thomas M. Kenny win motion on behalf of client Suntuity Solar, LLC in a case against defendant, Empire Solar Group. Empire Solar group moved to dismiss Suntuity’s claims of fraud, defamation and tortious interference but was denied. The case will now proceed to discovery.

Buchmiller and Roseburg were the co-owners of Empire Solar Group, a solar energy company based in Utah. Suntuity is a solar energy company based in Holmdel, NJ.

In June 2021, Buchmiller and Roseburg solicited Suntuity to fund Empire either through debt, asset purchase or an acquisition of an ownership interest in Empire. To induce Suntuity’s agreement, Abby Buchmiller and Roseburg represented to Suntuity that Empire was a growing business, with significant revenue and profitability, but short-term liquidity needs to support its continued growth.

Those representations were false, but based on those repeated false representations, Suntuity loaned Empire more than $6 million between June and July 2021. Once Suntuity discovered the extent of Buchmiller’s and Roseburg’s false representations, it brought a lawsuit against them alleging fraud as well as defamation and tortious interference with business relations.

Buchmiller and Roseburg moved to dismiss Suntuity’s claims, but yesterday the Court (the United States District Court for the District of New Jersey) denied their motions to dismiss Suntuity’s fraud, defamation and tortious interference claims. The opinion and order are attached. The Court found Suntuity had sufficiently pleaded fraud, defamation and tortious interference against Roseburg and Buhmiller, and the case will now proceed to discovery.

> Opinion on Motion to Dismiss

> Order on Motion to Dismiss