SAN JOSE – San Jose-based Technology Credit Corp. (TCC) recently filed a suit in the U.S. District Court for the Northern District of California, San Jose Division, against the First Assembly of God of Cold Springs (Cold Springs) claiming the church breached their contract when they refused to repay TCC for funding the purchase of their solar energy system.
The complaint filed on June 15 states that TCC funds the purchases of solar systems for various customers. New Jersey-based Cold Springs entered into a contract with TCC in September 2015 and hired contractor Green Power Solution to construct solar systems on their two properties in Cape May, New Jersey. The complaint states that TCC made progress payments to Green Power and purchased the solar systems when the project was finished in August 2016. The complaint states that Cold Springs was to pay monthly for the solar energy on an automatic debit system to TCC.
TCC claims that the contract Cold Springs signed acknowledged that one of the systems would have 35 panels. In 2017, TCC stated that they contacted Cold Springs after looking at satellite images that showed two of the solar modules were missing, and if so that Cold Springs would need to pay TCC for them. The complaint alleges that TCC inspected the system and verified that two solar modules were missing.
TCC further alleges that Cold Springs charged back their January, February, and March payments, and did not respond to TCC’s notice that they were in default. TCC claims that they informed Cold Springs that they would be terminating the contract as they had refused to pay and were owed $153,519 per the contract. “Cold Springs repeatedly refused to pay amounts due or cure its deficits,” the complaint says.
TCC states Cold Springs has refused to pay or respond to TCC’s demands. The complaint is requesting prejudgment interest, compensatory damages, attorney’s fees and court costs.
TCC is represented by Katherine S. Clark with the Law Offices of Katherine S. Clark in San Jose
U.S. District Court for the Northern District of California, San Jose Division, Case Number 5:18-cv-03597