Andrew G. Finkelstein, P.C. (NY & NJ) * Joseph P. Rones (NY) Marie M. DuSault (NY) Sharon A.

Joseph P. Rones (NY) Marie M. DuSault (NY) Sharon A. Scanlan (NY & CT) Noreen Tuller, R.N. (NY)
D. Greg Blankinship (NY & MA) Ronald Rosenkranz (NY) * Melody A. Gregory (NY & CT) Marc S. Becker (NY) Cristina L. Dulay (NY & NJ)
Jeremiah Frei-Pearson (NY) George A. Kohl, II (NY & MA) Elizabeth A. Wolff (NY & MA) Antonio S. Grillo (NY & NJ) Justin M. Cinnamon (NY & CT)
Todd S. Garber (NY & CT) Andrew L. Spitz (NY) Christine Khalili-Borna Clemens (NY & CA) Narine Galoyan (NY) Robin N. D'Amore (NY)
- ----------------------------------------------------------------------------------------------------------------- Elyssa M. Fried-DeRosa (NY) Brian D. Acard (NY) Jonathan Minkove (NJ & MD) Rodrigo Arcuri (NY)
Bradley Silverman (NY) James W. Shuttleworth, III (NY) Vincent J. Pastore ( NY & NJ ) Levi Glick (NY & NJ) Kevin D. Burgess (NY)
Antonino B. Roman (NY) David E. Gross (NY & NJ) * Christopher R. Camastro (NY & NJ) Daniel DeVoe (NY) Yola Ghaleb (NY)
John Sardesai-Grant (NY) Mary Ellen Wright, R.N. (NY) * Jeffrey M. Brody (NY) Vincent J. Rossillo (NY) Robert Seidner (NY)
Andrew White (NY) Kenneth B. Fromson (NY, NJ & PA) * Courtney Day (NY & NJ) Pamela Thomas (NY & CT) Charlemagne Yawn (NY)
Chantal Khalil (NY) Nancy Y. Morgan (NY, NJ & PA) Cynthia M. Maurer (NY & NJ) Donald A. Crouch (NY & CT) Rohit Kumar (NY)
Jean Sedlak (NY & CA) Lawrence D. Lissauer (NY) Michael Feldman (NY & NJ) * Karen O’Brien (NY) Maulik Sharma (NY)
Victoria Lieb Lightcap (NY & MA) * Raye D. Futerfas (NJ) David Stauber (NY) Georgianna Timal (NY)
Of Counsel Ann R. Johnson (NY & CT) Linda Armatti-Epstein (NY) Jennifer Safier (NY & NJ) Marvin Anderman, P.C. (NY)
Duncan W. Clark (NY) Marshall P. Richer (NY) David Akerib (NY) Annie Ma (NY & NJ) Frank R. Massaro (NY)
George M. Levy (NY) Edward M. Steves (NY) Frances M. Bova, R.N. (NY & NJ) Thomas P. Welch (NY) Kenneth G. Bartlett (CT & NJ)
Robert J. Camera (NY & NJ) Kara L. Campbell (NY, NJ, CT) Gustavo W. Alzugaray (NY) Howard S. Lipman (NY) * The Neurolaw Trial Group

June 12, 2018

Via Electronic Filing & Overnight Delivery

Re: Farruggio et al. v. 918 James Receiver, LLC et al., Index No. 003831/2017;
Notice of Settlement Between the Putative Class and Defendant Clinton Square
Operations, LLC

Dear Justice Paris:

The undersigned represent plaintiffs Michael Farruggio and Susan Karpen (“Plaintiffs”)
and Defendant Clinton Square Operations, LLC (“Clinton Square”) (collectively, the “Settling
Parties”). We are pleased to submit this joint letter informing the Court that the Settling Parties
have reached a class settlement1 that will, if approved, fully resolve Plaintiffs’ and the putative
class’ claims against Clinton Square, which has operated the nursing home since December 15,
2017.2

This settlement includes monetary and injunctive relief. Defendant will pay $495,000 to
resolve all negligence and Public Health Law § 2801-d claims of the Plaintiffs and putative class.
Defendant will also comply, or substantially comply, with staffing and quality metric
benchmarks. To effectuate this settlement, Defendant respectfully requests that the Court grant
Plaintiffs’ pending motion for class certification as against it.

CPLR 908 requires that the Court must approve any class settlement. New York courts
use a two-stage process for determining whether to approve class settlements; the two stages are
preliminary approval and final approval. See, e.g., Bickerton v. Rose, Ind. No. 650780/2012,
2013 WL 3335076, at *1, 4 (Sup. Ct. N.Y. Cnty. Jun. 28, 2013); Fiala v. Metro. Life Ins. Co., 27
Misc. 3d 599, 899 N.Y.S.2d 531 (Sup. Ct. N.Y. Cnty. Mar. 3, 2010). First, the Settling Parties

1
Clinton Square does not admit to any liability, and reserves all defenses in the event that the
Settling Parties are unable to certify a class or obtain court approval of the settlement.
2
Plaintiffs and the putative class will continue to litigate their claims against the other
Defendants for conduct that occurred prior to Clinton Square’s purchase of the facility.
Newburgh • Albany • Binghamton • Kingston • Middletown • Newark • Port Jervis • Poughkeepsie • Spring Valley • Syracuse • White Plains
1279 ROUTE 300, PO BOX 1111 445 HAMILTON AVE, SUITE 605
NEWBURGH, NY 12551 Phone: (914) 298-3281 Fax: (845) 562-3492 www.fbfglaw.com WHITE PLAINS, NY 10601
X
must move for preliminary approval of the settlement, where they will provide the Court with the
full settlement terms and additional relevant information. See Matter of HSBC Bank U.S.A. N.A.
Checking Account Overdraft Litig., 49 Misc. 3d 1211(A), at *23-27 (Oct. 27, 2015). If the Court
preliminarily approves the settlement as fair, the Settling Parties will provide court-approved
notice of the settlement to all class members, who will have the right to object to the settlement
or opt out of the settlement if they wish to pursue individual claims against Clinton Square. See
Bickerton, 2013 WL 3335076, at *4; Fiala, 27 Misc. 3d at 600 n.1. After class members have
received notice and had an opportunity to object or opt out, the Settling Parties will then move
for final approval and any class member who objects to the settlement will have the opportunity
to be heard by the Court. See Bickerton, 2013 WL 3335076, at *1, 4; Fiala, 27 Misc. 3d at 601,
603-06. If the Court finally approves the settlement, then it becomes binding and relief will be
promptly distributed to class members. See, e.g., Bickerton, 2013 WL 3335076, at *6. The
Setting Parties are working diligently to finalize all settlement documents and intend to file a
formal motion seeking preliminarily approval of the settlement in approximately thirty days.

We thank Your Honor for your continued attention to this matter.

Respectfully Submitted,

Jeremiah Frei-Pearson
John D. Sardesai-Grant
Jean Sedlak
Finkelstein, Blankinship,
Frei-Pearson & Garber, LLP

Counsel for Plaintiffs and the Putative Class

Kevin T. Hunt
Christine A. Sullivan
Gale Gale & Hunt, LLC

Counsel for Defendant

Cc: All counsel of record