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Posts Categorized: Statute of Limitations/Laches

Posted: December 13, 2017

Fraud Claim Should Not Have Been Dismissed as Time-Barred; Question of Fact Existed Regarding When Fraud Should Have Been Discovered

On December 5, 2017, the First Department issued a decision in Berman v. Holland & Knight, LLP, 2017 NY Slip Op. 08489, holding that a fraud claim against a law firm should not have been dismissed because there was a question of fact regarding when the fraud should have been discovered, explaining: The two-year discovery… Read more »

Posted: December 12, 2017

Cause of Action for Damage to RMBS Trust Occurs Where Trust is Located

On December 5, 2017, the First Department issued a decision in Deutsche Bank Natl. Trust Co. v. Barclays Bank PLC, 2017 NY Slip Op. 08459, holding that a cause of action for damage to an RMBS trust accrues where the trust is located, explaining: In 2013, plaintiff commenced the two above-captioned actions, each solely in… Read more »

Posted: October 25, 2017

Malpractice Claim Untimely Based on Out-of-State Limitations Period Under Borrowing Statute

On October 17, 2017, the First Department issued a decision in Centre Lane Partners, LLC v. Skadden, Arps, Slate, Meagher, & Flom LLP, 2017 NY Slip Op. 07221, affirming the dismissal of an action as time-barred under New York’s borrowing statute, explaining: Where the alleged injury is economic in nature, the cause of action is… Read more »

Posted: October 9, 2017

CPLR 205(a) Statute of Limitations Extension Does Not Apply to Voluntarily Discontinued Action

On October 4, 2017, the Second Department issued a decision in EB Brands Holdings, Inc. v. McGladrey, LLP, 2017 NY Slip Op. 06923, holding that CPLR 305’s extension of the statute of limitations does not apply to actions that are voluntarily discontinued. In EB Brands Holdings, “the plaintiff brought an action against the defendant in… Read more »

Posted: August 13, 2017

Two-Year Discovery Rule Does Not Save Fraud Claim from Being Time-Barred

On August 7, 2017, Justice Kornreich of the New York County Commercial Division issued a decision in Epiphany Community Nursery School v. Levey, 2017 NY Slip Op. 31668(U), holding that the two-year discovery rule did not save a fraud claim from being time-barred, explaining: [A]ll of the claims in the complaint are dismissed as time-barred…. Read more »

Posted: July 26, 2017

Breach of Fiduciary Duty Claim Based on Law Firm’s Conflicted Representation Timely

On July 25, 2017, the First Department issued a decision in Palmeri v. Wilkie Farr & Gallagher LLP, 2017 NY Slip Op. 05794, holding that a breach of fiduciary claim against a law firm for representing an adverse party was timely, explaining: [T]he IAS court should have permitted the breach of fiduciary duty claim to… Read more »

Posted: July 16, 2017

Plaintiff’s Amended Claims Found to Relate Back to Date of Original Complaint

On June 29, 2017, Justice Ash of the Kings County Commercial Division issued a decision in Seidler v. Knopf, 2017 NY Slip Op. 31430(U), holding that a plaintiff’s amended claims related back to the date of the original complaint, explaining: Contrary to the contention of defendants, the amendments are not time-barred. The relation-back doctrine permits… Read more »

Posted: July 13, 2017

Time-Barred Claims Could be Used as Counterclaims Under Equitable Recoupment Doctrine

On June 29, 2017, the First Department issued a decision in California Capital Equity, LLC v. IJKG, LLC, 2017 NY Slip Op. 05312, holding that claims that were time-barred could nonetheless be a sserted as counterclaims, explaining: The doctrine of equitable recoupment, as codified in CPLR 203(d), applies to IJKG’s counterclaim for tortious interference with… Read more »

Posted: June 28, 2017

Leave to Appeal Granted in Case Involving Effect of New York Choice of Law Clause on Applicability of Borrowing Statute

On June 22, 2017, the Court of Appeals granted leave to appeal in 2138747 Ontario, Inc. v. Samsung C&T Corp., 2017 NY Slip Op. 77845, a case concerning the effect of a broadly-worded New York choice-of-law clause on the applicability of New York’s ‘borrowing statute,” CPLR 202, which in certain circumstances mandates application of a… Read more »

Posted: June 23, 2017

Tolling Provision of CPLR 205(a) Does Not Apply to Out-of-State Actions

On June 15, 2017, the First Department issued a decision in Deadco Petroleum v. Trafigura AG, 2017 NY Slip Op. 04887, holding that claims timely brought in California but later dismissed were time-barred because the tolling provision of CPLR 205(a) does not apply to out-of-state actions, explaining: The breach of partnership/strategic partnership, breach of implied… Read more »