DECISION and ORDER I. INTRODUCTION Plaintiff Cipriani Construction Corp. (“Cipriani”) was hired to build a solar project. Cipriani subcontracted the electrical work to defendant GRN Electric and Solar Inc. (“GRN Electric”). GRN Electric began the work and Cipriani made payments that totaled $920,000. But GRN Electric’s crew eventually walked off the job site and defendant Kirk Ferrier (“Ferrier”), GRN Electric’s principal and owner, demanded $375,000 more to finish the work. Cipriani refused to pay. Cipriani hired a different outfit, which completed the work for another million dollars or so. Cipriani later won an arbitration award against GRN Electric. And Cipriani confirmed that award in Supreme Court, Albany County, which has entered a money judgment in its favor. But neither GRN Electric nor Ferrier have paid back a dime of the $920,000. On June 20, 2023, Cipriani filed this civil action in the U.S. District Court for the Southern District of New York alleging, inter alia, that GRN Electric and Ferrier violated certain state-law requirements by failing to maintain in trust and/or properly account for the $920,000 that Cipriani had paid them under the parties’ written agreement. Dkt. No. 1. But because Cipriani had mislaid venue in the Southern District, the action was sua sponte transferred to this judicial district on June 26, 2023. Dkt. Nos. 5, 9-11. On July 5, 2023, Cipriani filed a six-count amended complaint that asserts claims under Article 3-A of New York Lien Law seeking an accounting (Count One) and for the alleged diversion of project funds that should have been held in trust (Count Two); a claim under New York General Business Law §349 for deceptive practices (Count Five); and state common law claims for fraud (Count Three), negligent misrepresentation (Count Four), and conversion (Count Six). Dkt. No. 14. After the time period in which to file an answer expired, Cipriani requested the entry of default against GRN Electric and Ferrier, Dkt. No. 22, which was certified on October 16, 2023, Dkt. No. 23. On December 29, 2023, Cipriani moved for the entry of a default judgment in the amount of $920,000 plus costs and fees. Dkt. No. 25. However, on the date on which any opposition was due, counsel for defendant Ferrier entered a notice of appearance, Dkt. No. 27, and sought an extension of time in which to respond to Cipriani’s motion for default judgment, Dkt. No. 28, which was granted over Cipriani’s opposition, Dkt. Nos. 29, 30. Thereafter, defendant Ferrier cross-moved to vacate or set aside his default (but not the entry of default against his co-defendant GRN Electric). Dkt. No. 31. Cipriani has opposed vacatur. Dkt. No. 32. Both motions have been fully briefed and will be considered on the basis of the submissions without oral argument. II. BACKGROUND Cipriani is a general contractor organized as a New York corporation with headquarters in Colonie, New York. Am. Compl.
2, 7. GRN Electric is an electrical subcontractor organized as a Delaware corporation based out of Long Branch, New Jersey. Id.
