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JZ SMOKE SHOP v. AMERICAN COMMERCIAL CAPITAL CORP.

No. 88 Civ. 0465 (TPG).

709 F.Supp. 422 (1989)

JZ SMOKE SHOP, INC., Plaintiff, v. AMERICAN COMMERCIAL CAPITAL CORPORATION, Defendant.

United States District Court, S.D. New York.

March 21, 1989.

Attorney(s) appearing for the Case

Patrick F. Broderick, Broderick, Broderick & Redmond, Bayside, N.Y., for plaintiff.

Edward A. Friedman, Friedman & Kaplan, New York City, for defendant.

OPINION

GRIESA, District Judge.

Plaintiff JZ Smoke Shop, a tobacco shop in Nassau County, is a small business owned primarily by Joseph Zimmer. In March 1986, JZ borrowed $200,000 from defendant American Commercial Capital Corporation in a complex loan transaction. American is licensed by the Small Business Administration (SBA) as a Small Business Investment Company (SBIC). As an SBIC, American makes loans to qualifying small businesses pursuant to regulations...

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