The dogfight tangling NEXA Mortgage LLC co-founders Mike Kortas and Matthew Grella intensified this week as a judge in Arizona's Maricopa County Superior Court granted Grella’s motion to dismiss a lawsuit alleging the former NEXA executive traded in or sold company cars and kept the proceeds.
NEXA CEO Mike Kortas confirmed that the company is prepared to file an amended complaint, stating, “We are filing an amendment, and it will be an easy overturn.” NEXA has until Oct. 8 to submit the second amended complaint, as outlined in the motion.
Filed on June 24 and granted Sept. 26, Grella’s Motion to Dismiss argues that the lawsuit is the “handiwork” of Kortas and that the claims against him are “defective.” At the time of Grella's June filing, Kortas told NMP, “It’s my understanding that the motion may be more for public consumption than a serious legal filing.”
Judge Scott McCoy, who granted the dismissal, disagreed with Kortas, suggesting the company “reconsider” its filing and noting that the current claims are “quite weak.” McCoy further pointed out that NEXA’s operating agreement stipulates that its primary purpose is to function as a mortgage brokerage and that engaging in other business ventures requires unanimous consent from its owners.
The dispute between the co-founders began in March 2024 when Grella was terminated during buyout negotiations. Prior to his termination, Grella filed a lawsuit accusing Kortas of making unauthorized aircraft-related purchases with company funds, which Kortas denied. In turn, Kortas countersued Grella and his wife, alleging that Grella traded in or sold company cars and kept the proceeds.
McCoy's dismissal did question whether due diligence was properly conducted on a $25 million real estate deal involving an airplane hangar in Mesa, Ariz. McCoy asked, “Does Mr. Kortas truly believe that due diligence on a $25 million real estate deal wouldn’t involve verifying NEXA’s authority to make such a transaction?”
In a statement emailed to NMP, Grella said "I am glad the Court recognized what was lacking in Nexa’s lawsuit against me, and look forward to proving my own case in court."
