Northern leasing Answer Site

Northern Leasing Systems Summary Judgement

rdhingra — Mon, 30 Jan 2012 13:51:58 +0000

New York Appellate Division Rules in Favor of Northern Leasing Systems, Inc.

Court Reverses Summary Judgment Decision

New York, NY, September 15, 2011 – Northern Leasing Systems, Inc. (www.northernleasing.com), the leading provider of third-party micro-ticket equipment leasing services in the United States, today announced the New York Appellate Division has ruled in favor of the company, reversing summary judgment as to liability in a breach of contract class action brought against the company by four lessees.

A five-judge panel of the New York Apellate Division Thursday reversed, on the law, with costs, a March 29, 2010, ruling by a New York state trial judge. The decision was unanimous.

“Northern Leasing has always prided itself on the fairness of our business practices,” said Jay Cohen, chairman and chief executive officer of Northern Leasing Systems, Inc. “Our swift and continued willingness to resolve issues as soon as they arise is a strong indication that we take our reputation very seriously.”

“This opinion has vindicated our confidence in a favorable outcome to our case,” Mr. Cohen continued. “We look forward to the ultimate resolution of this matter.”

The plaintiff’s claim is essentially that the lessees thought the four-page lease in the form of a booklet was, in reality, only one page long and therefore Northern Leasing Systems’ enforcement of the terms on the other three pages constituted a breach of the contract. The trial judge granted summary judgment to the plaintiff under that theory. Northern Leasing appealed to the Appellate Division, which unanimously reversed.

“On this record, questions of fact exist that preclude granting plaintiffs summary judgment on the breach of contract claim,” the decision reads.

“Specifically, a factfinder must determine 1) whether plaintiffs received only the first page of the form lease or all four pages, and 2) whether, if plaintiffs received all four pages, they could reasonably have believed that all terms were contained on page 1. The latter question cannot be answered as a matter of law in plaintiffs’ favor, given that page 1 of the form lease, which each plaintiff signed, states that it is ‘Page 1 of 4′ and contains a reference, above the lessee’s signature, to paragraph 11, which appears on page 3 of the form. Moreover, the record contains evidence that the form lease each plaintiff signed was printed on one sheet of paper, 11 inches by 17 inches long, folded in half to create a four-page booklet.”

About Northern Leasing Systems, Inc.

Northern Leasing Systems, Inc., http://www.northernleasing.com, founded in 1991, is an established provider of third-party equipment leasing services that enable business owners to finance point-of-sale and other key equipment components of their business operations. The company’s primary focus is to provide financing for the credit card authorization equipment market for small and medium-sized businesses by financing the leasing of equipment selected by its customers from independent equipment suppliers.

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Northern Leasing Lessee is upset about being charged property tax

Kathy — Tue, 22 Mar 2011 19:00:38 +0000

Lease is net of taxes. Northern Leasing Lessee accepts responsibility of paying any and all taxes imposed on the lease or equipment itself, along with fees/penalties related to the filing of tax documents. Please refer to Section of the Northern … Continue reading →

Northern Leasing Lessee is closed and Personal Guarantor has filed bankruptcy. What happens to the equipment?

Kathy — Tue, 22 Mar 2011 18:57:45 +0000

Should Personal Guarantor legally file for bankruptcy, equipment should be returned to Northern Leasing since Northern Leasing holds the title to it and is its rightful owner.

Northern Leasing Lessee’s business is closed and Personal Guarantor is filing personal bankruptcy

Kathy — Tue, 22 Mar 2011 18:54:54 +0000

Northern Leasing Lessee is required to either provide us with contact information for the attorney handling their case or proof of bankruptcy filing. Once Northern Leasing Systems receives proof of filing, the account is promptly updated of the bankruptcy information and … Continue reading →

Northern Leasing Lessee claims Personal Guarantor is deceased

Kathy — Tue, 22 Mar 2011 18:51:45 +0000

Upon notification, Northern Leasing typically requires a copy of the death certificate be sent to us for our files. Upon receipt of the required document, Northern Leasing then terminate the lease as a courtesy.

Northern Leasing Lessee claims lease has expired but the lease is still active

Kathy — Tue, 22 Mar 2011 18:48:25 +0000

The Northern Leasing contract is a lease w/ an option to purchase the equipment at the end of the lease term. Northern Leasing Lessee has the contractual obligation to notify us 30-days prior to its expiration as to their intent on terminating the lease and exercise one of their buyout options – return equipment to us or purchase it at its estimated fair-market-value. Failure to do so constitutes Lessee’s election to remain on the lease on a month-to-month basis.

Northern Leasing Lessee claims never signed lease

Kathy — Tue, 22 Mar 2011 18:36:45 +0000

To properly address claims of forgery, Northern Leasing requires claimant to complete an Affidavit of Forgery and submit supporting documents. It is imperative claimant comply so Northern Leasing can timely address the matter. Upon review of the claim, Northern Leasing notifies the Lessee … Continue reading →

Northern Leasing Lessee claims invoices are not being delivered timely causing remittance of payments to be late

Kathy — Tue, 22 Mar 2011 18:27:07 +0000

Northern Leasing outsources the printing and mailing of invoices. Should Lessee not receive invoices, they are encouraged to contact Northern Leasing’s Customer Service Dept. at (866) 781-0440 to notify us and request for address information. When Northern Leasing Systems receives an abundance of similar complaints and receive concrete proof of the problem, they will launch an investigation and also waive any late fees billed as a result of the invoices not being received on a timely basis.

Northern Leasing Lessee is out of business and unable to continue on with the lease

Kathy — Tue, 22 Mar 2011 18:22:29 +0000

Northern Leasing offers the option for Lessee to transfer the lease or a possible discounted buyout. If the account is delinquent, Northern Leasing also gives them time to sort out their affairs and offer its Lease Extension Program. Norhtern Leasing System’s Lessee is required to make a minimum payment & we then extend the term of the lease by adding the delinquent monthly payments to the remaining term essentially making the account current and in good standing.

Northern Leasing Lessee claims they were enticed to sign the lease w/ the promise of lower processing rates/fees. But they are now paying substantially higher fees/rates.

Kathy — Tue, 22 Mar 2011 18:19:04 +0000

Any issues w/ processing fees/rates do not affect the validity and enforceability of the Northern Leasing Equipment lease. A merchant typically signs a separate/independent contract for their services. Northern Leasing Lessee always has the option to switch service-providers since the leased equipment is a universal unit. However, the merchant may incur cancellation fees should they decide to switch service-providers. They need to refer to their Merchant Processing Agreement for further clarification.

Northern Leasing Lessee returned equipment to cancel the lease

Kathy — Tue, 22 Mar 2011 16:32:23 +0000

The return of equipment alone does not effectively terminate the Northern Leasing Equipment contract. The remaining balance also needs to be satisfied. Additionally, Lessee also has the option to transfer the lease should they find an interested party who’s willing … Continue reading →

Northern Leasing Lessee claims equipment has been destroyed or stolen but is not paying the Loss & Damage waiver fee

Kathy — Tue, 22 Mar 2011 16:29:06 +0000

Since Lessee has opted to cover the leased equipment under their business insurance, it is their responsibility to cover the cost to replace the equipment. Lessee may also file a claim with their insurance company to either pay for the … Continue reading →

Northern Leasing Lessee claims equipment has been destroyed or stolen from their business location and they are paying Loss & Damage Waiver fee

Kathy — Tue, 22 Mar 2011 16:18:33 +0000

Northern Leasing requires a copy of the Police Report of the theft or the Incident Report showing equipment has been destroyed or damaged. Upon receipt of the report(s), we will send Lessee replacement equipment to their business location.

Northern Leasing Lessee claims full balance was automatically withdrawn from their bank account without their authorization

Kathy — Tue, 22 Mar 2011 16:12:32 +0000

Pursuant to the Sections of the contract titled Event of Default and Remedies, Northern Leasing reserves the right to accelerate full balance on the account if Lessee has defaulted on the lease at any time during the term.

Northern Leasing Lessee claims requested multiple times to be placed on invoice but bank account is being debited for payments

Kathy — Tue, 22 Mar 2011 16:05:56 +0000

We typicall honor Lessee’s request to be switched to invoice billing. Lessee should be aware that there is an invoice fee per month for this service. Additionally, should the account become delinquent or has a history of continuously being late on payments, Northern Leasing has the option and contractual right to resume ACH (automatic withdrawal) of lease payments. It is imperative Lessee remit payments on a timely basis.