S&W Secure Dismissal of Merchant Cash Advance Claims

April, 2024

Daniel J. Weiner and John Stockdale, Jr. secured the dismissal of $728,156 in claims from a merchant cash advance lender (the “MCA”). S&W represented a multi-location bin store in its business wind-down. The bin store allegedly borrowed heavily from a MCA, who brought an arbitration action against the bin store and its owners to collect unpaid “future receivables” under an arbitration provision in a third-party’s loan document. At the arbitration’s preliminary conference, S&W successfully argued that the MCA’s claims should be dismissed from the arbitration because they were beyond the scope of the arbitration provision.