Owners of Janesville Harley-Davidson dealership file to dismiss claims of fraud in lawsuit against them

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The parent companies of the Boardtracker Harley-Davidson in Janesville deny many of the allegations in the lawsuit filed against them by Harley-Davidson Credit Corporation.

Attorney Alon Stein filed a motion to dismiss four of the counts against owner Sara Pomeroy and JHD Holdings Inc.

In the court document, Stein says the plaintiff is relying on “essentially the same allegations” to bring up three separate counts of check and inventory fraud.

The motion argues that these fraud counts are without merit and are just repeating the allegations in the accusation of breach of contract.

Stein also filed amended affirmative defenses, which hints at the creditor failing “to act in good faith” and some potential violation of “applicable franchise laws, the Wisconsin Motor Vehicle Dealership Law or to the extent Illinois Law is applicable, the Illinois Motor Vehicle Franchise Act.”

The two sides met for a hearing Friday, which maintained the current modified temporary restraining order that “restrained defendants from selling merchandise financed by Harley-Davidson unless they notify Harley-Davidson and remit the proceeds to Harley-Davidson, as required by the financing agreement.”

The creditor’s original restraining order request asked the court to temporarily stop the dealership from selling any more merchandise.

The next pretrial telephone conference is scheduled for April 5.