UNITED STATES COURT OF APPEALS FOR THE SECOND CIRCUIT August Term, 2022 (Argued: March 27, 2023 Decided: September 6, 2023) Docket Nos. 22-274(L), 22-402(CON)

EMA FINANCIAL, LLC, Plaintiff-Counter-Defendant-Counter-Claimant-Appellee-Cross-Appellant, v. JOEY CHANCIS, RICHARD ROER, Defendants-Counter-Claimants-Counter-Defendants-Appellants-Cross-Appellees,

RAR BEAUTY, LLC, LABB, INC., REFLEX PRODUCTIONS, INC., RICHARD CHANCIS, JOEY NEW YORK, INC., Defendants-Counter-Claimants-Counter-Defendants. *

Before: SACK, LOHIER, AND CARNEY, Circuit Judges.

This action concerns loans issued by the plaintiff, EMA Financial, LLC, to a group of companies that were controlled by Joey Chancis, Richard Chancis, and Richard Roer. The loan agreements contained so-called “floating-price conversion option” provisions, which gave EMA the right to exercise an o