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Jason Emer MD New York City v. Mason Kelley Accuses Mason Kelley of granting $332,912 in unauthorized discounts

A medical practice and its owner have sued a former sales director in New York state court, alleging he granted more than $332,000 in unauthorized discounts, failed to follow up on $1.6 million in open quotes, and made false promises to cover losses out of his own pocket.

The verified complaint, filed May 4 in the Supreme Court of the State of New York, County of New York, names Mason Kelley, who served as concierge manager and director of sales for Jason Emer MD New York City for approximately 90 days in late 2025. Plaintiffs Jason Emer MD New York City and Dr. Jason Emer, M.D. assert claims for faithless servant doctrine, breach of fiduciary duty, and fraud, seeking forfeiture of all compensation paid to Kelley during his tenure, plus compensatory damages, pre-judgment interest, and equitable relief.

The complaint alleges Kelley exceeded his authority by offering steep discounts—including stacking discounts onto promotions—without prior approval from Dr. Emer or Jose Bodon-Orsini, who held discount authority within the practice (Compl. ¶10, ¶25). A forensic audit identified $332,912 in unauthorized discounts across 52 quotes, including 40 vials of Sculptra priced at zero net value and $82,300 in discounts for a single patient, Marie Kuehne. Kelley left 64% of his 161 quotes unresolved, with no documented outreach, according to the filing. Of the 161 quotes created by Kelley during his tenure, 103 remained open and unresolved at the time of his departure (Compl. ¶31).

Alleged Unauthorized Discounting and Failure to Follow Up by Mason Kelley

The verified complaint alleges that Mason Kelley, former concierge manager and director of sales for Jason Emer MD New York City, granted $332,912 in unauthorized discounts across 52 quotes without prior approval from Dr. Emer or Jose Bodon-Orsini, who held discount authority (Compl. ¶25). Kelley allegedly stacked discounts onto promotions, including 40 vials of Sculptra priced at zero net value and $82,300 in discounts for patient Marie Kuehne. The complaint further details that two quotes for patient Randy Blackwell were discounted by $5,461 and $5,935, respectively, and another patient, Christine McCann, received a 55.5% discount on her quote (Compl. ¶26).

Kelley’s conduct allegedly violated explicit instructions from Dr. Emer, who wrote, "you cannot EVER give anyone a discount without reviewing with me first." The complaint alleges Kelley admitted in writing to making "a call on the spot; clearly that wasn’t the right path" (Compl. ¶19). Despite these admissions, Kelley left 64% of his quotes unresolved—103 of the 161 he created—with an open quote value exceeding $1.6 million. The complaint further alleges Kelley failed to document follow-up tasks for promised corrective actions, including pledges to "own the pricing error," "align with your policy," and "cover the difference" if patients refused corrected pricing. The complaint specifically quotes Kelley as stating, "I’ll cover the difference on this one to keep us from setting a precedent" (Compl. ¶21).

A forensic audit revealed invoices where the discount amount exceeded the collected amount, creating losses. The complaint alleges Kelley failed to correct or disclose these anomalies (Compl. ¶39(e)). Kelley allegedly assured Dr. Emer, "First thing tomorrow, I’ll call the patient, own the pricing error, and align with your policy," and promised, "If he won’t proceed at the corrected price, I’ll cover the difference on this one" (Compl. ¶59). Kelley also offered to "contribute out-of-pocket to help patient meet the $10,600 Round-1 target" for patient Randy Blackwell (Compl. ¶60). The complaint alleges these representations were false and made without intent to fulfill them, as Kelley’s task log contained no follow-up entries for the corrective actions he promised. Under the third cause of action for fraud, plaintiffs allege Kelley made these false representations with knowledge that he did not intend to perform them or with reckless disregard for the truth, causing Plaintiffs to delay corrective action and continue his employment (Compl. ¶62, ¶64).

Financial Impact: $332,912 in Unauthorized Discounts and Open Quotes

The complaint alleges Mason Kelley’s conduct caused measurable financial harm to Jason Emer MD New York City, quantified in a forensic audit. The audit identified $332,912 in unauthorized discounts across 52 quotes during Kelley’s approximately 90-day employment. Plaintiffs contend these discounts were granted without the required prior review from Dr. Emer or Jose Bodon-Orsini, who held discount authority within the practice (Compl. ¶25).

The filing details specific instances of unauthorized discounting. Two quotes for a patient identified as Randy Blackwell were discounted by $5,461 and $5,935, respectively (Compl. ¶26). Another patient, Christine McCann, received a 55.5% discount on a quote (Compl. ¶26). The largest single discount cited in the complaint was $82,300 applied to quotes for Marie Kuehne, including 40 vials of Sculptra priced at zero net value. The complaint further alleges that in some cases, the discount amount exceeded the amount collected, resulting in direct losses, and that Kelley failed to correct or disclose these anomalies (Compl. ¶39(e)).

Beyond the unauthorized discounts, the complaint alleges Kelley left a significant portion of his sales pipeline unresolved. Kelley created 161 quotes during his tenure but left 103 of them open, representing a 64% open-quote rate (Compl. ¶31). The total value of these unresolved quotes exceeded $1.6 million. Plaintiffs assert that Kelley’s failure to follow up on these quotes, combined with the unauthorized discounts, resulted in "hundreds of thousands of dollars" in financial harm (Compl. ¶51(a)).

The complaint alleges that Kelley’s conduct extended beyond unauthorized discounting to include false assurances of corrective action. On September 24, 2025, Kelley emailed Dr. Emer, stating, "First thing tomorrow, I’ll call the patient, own the pricing error, and align with your policy," and, "If he won’t proceed at the corrected price, I’ll cover the difference on this one" (Compl. ¶59). The complaint quotes Kelley as describing the practice’s "current discounts are beyond standard" (Compl. ¶22). Despite these written assurances, the complaint alleges Kelley did not follow through on these promises, as his task log showed no documented follow-up for the corrective calls he pledged to make. Kelley also pledged to "contribute out-of-pocket to help patient meet the $10,600 Round-1 target" for Randy Blackwell, but the complaint alleges no such contribution was made (Compl. ¶60). The complaint further alleges that Kelley’s false assurances constitute fraud, as he made these representations with no intent to fulfill them, leading Plaintiffs to delay corrective action and continue his employment (Compl. ¶64). Under the third cause of action, plaintiffs seek damages for the fraudulent misrepresentations, which they allege were made knowingly or recklessly (Compl. ¶62).

Parties: Jason Emer MD New York City, Dr. Jason Emer, M.D., and Mason Kelley

The verified complaint names two plaintiffs: Jason Emer MD New York City, a corporate medical practice, and its founder, owner, and principal physician, Dr. Jason Emer, M.D.. The sole defendant is Mason Kelley, who served as the practice’s concierge manager, director of sales, and treatment coordinator. Kelley’s employment lasted approximately 90 days, ending in November 2025.

The complaint alleges that Kelley exceeded his authority by granting unauthorized discounts without prior approval from Dr. Emer or Jose Bodon-Orsini, who held discount authority within the practice (Compl. ¶25). Plaintiffs contend that Kelley’s conduct violated explicit instructions from Dr. Emer, who, according to the filing, directed that "you cannot EVER give anyone a discount without reviewing with me first." The complaint further alleges that Kelley admitted in writing to making "a call on the spot" for discounts, calling it "not the right path" (Compl. ¶19).

Plaintiffs are represented by Tyrone A. Blackburn, Esq., an attorney admitted in New York. The complaint seeks forfeiture, disgorgement, and restitution of all compensation paid to Kelley during his tenure, as well as compensatory damages for unauthorized discounts, invoice anomalies, and fraud-related losses. Plaintiffs specifically seek recovery of all compensation paid during Kelley’s approximately 90-day tenure, plus pre-judgment interest (Compl. ¶46).

First and Second Causes of Action: Faithless Servant Doctrine and Breach of Fiduciary Duty

The complaint asserts that Mason Kelley’s conduct satisfies the elements of New York’s faithless servant doctrine, a common-law rule permitting employers to recover all compensation paid to an employee who engaged in disloyalty during the period of employment. Plaintiffs allege that Kelley’s unauthorized discounting, failure to follow up on open quotes, and false assurances to his employers collectively meet the doctrine’s standard. The complaint states that Kelley’s actions—including the unauthorized discounts, failure to follow up on open quotes, discount irregularities, and false assurances—satisfy this doctrine (Compl. ¶42). As relief, plaintiffs demand forfeiture, disgorgement, and restitution of all compensation paid to Kelley during his approximately 90-day tenure, plus pre-judgment interest (Compl. ¶46).

Under the second cause of action, plaintiffs allege Kelley breached his fiduciary duty to Jason Emer MD New York City and Dr. Jason Emer. The complaint asserts that Kelley, as a concierge manager and director of sales, owed explicit duties of loyalty and obedience to the practice’s pricing and sales protocols (Compl. ¶36). Plaintiffs contend that Kelley’s unauthorized discounting began shortly after his hire in August 2025 and continued throughout his employment, despite written admonishments from Dr. Emer forbidding discounts without prior review. The complaint further alleges that Kelley’s conduct included not only the unauthorized discounts but also a failure to document follow-up tasks and leaving 64% of his quotes unresolved, with an open quote value exceeding $1.6 million. Plaintiffs specifically allege that Kelley failed to correct or disclose discount anomalies where the discount amount exceeded the collected amount (Compl. ¶39(e)). The complaint alleges that Kelley’s breach of fiduciary duty caused financial harm to the practice, including the $332,912 in unauthorized discounts and the unresolved quotes valued at over $1.6 million. The complaint quotes Dr. Emer’s instruction that discounts would not be permitted without his prior review, underscoring the alleged breach (Compl. ¶17).

Third Cause of Action: Fraud Against Mason Kelley

The verified complaint alleges that Mason Kelley committed fraud by making false representations to his employers with no intent to fulfill them. Plaintiffs contend Kelley repeatedly assured Dr. Jason Emer that he would correct unauthorized discounts, including promises to "own the pricing error" and "cover the difference" out-of-pocket if patients refused corrected pricing. The complaint states that Kelley knew he did not intend to fulfill these promises or made them recklessly, satisfying the elements of fraud under New York law (Compl. ¶62).

On September 24, 2025, Kelley emailed Dr. Emer, writing, "First thing tomorrow, I’ll call the patient, own the pricing error, and align with your policy," and, "If he won’t proceed at the corrected price, I’ll cover the difference on this one" (Compl. ¶59). The complaint alleges these assurances were false, as Kelley’s task log contained no follow-up entries for the promised corrective calls. Plaintiffs further allege Kelley made similar representations regarding a $10,600 target for patient Randy Blackwell, pledging to "contribute out-of-pocket to help patient meet the Round-1 target," but took no action to fulfill this commitment (Compl. ¶60). The complaint asserts that Kelley’s false assurances were made with the intent to deceive Plaintiffs and delay corrective action, resulting in continued financial harm to the practice. The complaint specifically alleges that Kelley’s conduct constituted fraud, as he made these representations knowing they were false or with reckless disregard for their truth, causing Plaintiffs to rely on them to their detriment (Compl. ¶64).

The complaint asserts that Kelley’s fraudulent conduct was not merely negligent but involved knowing misrepresentations, as he admitted in writing to making "a call on the spot" for discounts he described as "not the right path" (Compl. ¶19). Kelley also acknowledged in writing that the practice’s "current discounts are beyond standard" (Compl. ¶22). Plaintiffs seek compensatory damages for the out-of-pocket losses caused by Kelley’s fraud, including the financial harm resulting from the unauthorized discounts and unresolved quotes (Compl. ¶69(c)). The complaint further alleges that Kelley’s fraudulent misrepresentations were part of a broader pattern of disloyalty, which also forms the basis for the first and second causes of action.

Distinctive Pleadings: Forensic Audit, Written Admissions, and Task Log Omissions

The complaint relies on three interlocking sets of evidence: a forensic audit, the defendant’s own written admissions, and the absence of follow-up documentation in his task log.

The forensic audit, conducted after Mason Kelley’s departure, identified $332,912 in unauthorized discounts across 52 quotes, the complaint alleges. It also found invoice anomalies where the discount amount exceeded the amount collected, creating direct losses for the practice. Among the anomalies were 40 vials of Sculptra priced at zero net value and $82,300 in discounts for a single patient, Marie Kuehne. The audit further revealed that Kelley left 103 of his 161 quotes unresolved, representing a 64% open-quote rate (Compl. ¶31). These findings form the basis for the first and second causes of action, alleging faithless servant doctrine and breach of fiduciary duty, respectively.

Kelley’s written communications, the complaint contends, supply direct admissions of disloyalty. On September 24, 2025, he emailed Dr. Emer, stating, "I made a call on the spot; clearly that wasn’t the right path" (Compl. ¶19). Later that day, he promised to "call the patient, own the pricing error, and align with your policy," adding, "If he won’t proceed at the corrected price, I’ll cover the difference on this one" (Compl. ¶59). Kelley also wrote, "I’ll cover the difference on this one to keep us from setting a precedent" (Compl. ¶21), and described the practice’s "current discounts are beyond standard" (Compl. ¶22). Regarding patient Randy Blackwell, Kelley pledged to "contribute out-of-pocket to help patient meet the $10,600 Round-1 target" (Compl. ¶60). The complaint alleges these assurances were never fulfilled and were made with no intent to perform, forming the basis for the third cause of action for fraud (Compl. ¶64). The written admissions are cited as evidence of Kelley’s knowledge of his wrongdoing and his intent to deceive Plaintiffs, which are key elements of the fraud claim.

The third evidentiary pillar is Kelley’s task log, which, the complaint alleges, contained no documented follow-up tasks for the corrective calls he had promised. Plaintiffs contend that this omission, combined with the forensic findings and Kelley’s written admissions, demonstrates a pattern of concealment and financial harm totaling hundreds of thousands of dollars. The complaint specifically alleges that Kelley failed to correct or disclose discount anomalies where the discount amount exceeded the collected amount (Compl. ¶39(e)). These omissions are cited as evidence of Kelley’s fraudulent conduct. The complaint further alleges that Kelley’s failure to document follow-up tasks, despite his written promises to "own the pricing error" and "align with your policy," demonstrates his intent to mislead Plaintiffs and avoid accountability (Compl. ¶59).

Relief Sought and Procedural Posture: Forfeiture, Damages, and Jury Trial Demand

The verified complaint in Jason Emer MD New York City and Dr. Jason Emer, M.D. v. Mason Kelley seeks sweeping monetary and equitable relief, anchored in New York’s faithless servant doctrine, breach of fiduciary duty, and common-law fraud. Plaintiffs demand forfeiture, disgorgement, and restitution of all compensation paid to Mason Kelley during his approximately 90-day tenure, plus pre-judgment interest, asserting that his alleged disloyalty renders every dollar of salary, wages, and commissions subject to clawback (Compl. ¶46).

From the Complaint Public Court Record

EXHIBIT A Case 1:26-cv-05862 Document 1-1 Filed 07/10/26 Page 1 of 18

1 SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF NEW YORK To the named Defendant (s): YOU ARE HEREBY SUMMONED to answer the complaint in this action and serve a copy of your answer or, if the complaint is not served with this summons, to serve a notice of appearance on the Plaintiffs' Attorneys within 20 days after the service of this summons. Exclusive of the day of service (or within 30 days after the service is complete if this summons is not personally delivered to you within the State of New York. YOU ARE HEREBY NOTIFIED THAT should you fail to answer or appear; judgment will be taken against you by default for the relief demanded in the complaint. The nature of this action is to recover compensation and damages under New York’s faithless servant doctrine, breach of fiduciary duty, and fraud, arising from Defendant’s unauthorized discounting, failure to follow up, and false promises to reimburse. Plaintiffs seek forfeiture and disgorgement of all compensation paid to Defendant during his employment and damages resulting from hundreds of thousands of dollars in unauthorized discounts and associated losses. The Plaintiffs designate New York County as the place of trial. The basis of venue is that Plaintiff JASON EMER MD NEW YORK CITY maintains its principal place of business at 57 W 57th Street, Suite 611, New York, New York 10019-2815, and a substantial part of the events giving rise to these claims occurred in New York County. A COPY OF THIS SUMMONS WAS FILED WITH THE CLERK OF THE COURT, NEW YORK COUNTY ON ______________ IN COMPLIANCE WITH CPLR §§305(a) AND 306(a). Dated: April 20, 2026 Brooklyn, New York /s/Tyrone A. Blackburn Tyrone A. Blackburn, Esq. 1242 E. 80 th Street, 3 rd Floor Brooklyn, NY 11236 Phone: 347-342-7432 Email: Tblackburn@tablackburnlaw.com Jason Emer MD New York City, and Dr. Jason Emer, M.D. Plaintiff, -a

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