Monthly Archives: December 2017

Posted: December 31, 2017

Investment Advisors Are Not Professionals That Can be the Subject of a Professional Malpractice Claim

On December 18, 2017, Justice Kornreich of the New York County Commercial Division issued a decision in Gutterman v. Stark, 2017 NY Slip Op. 32618(U), holding that investment advisors are not professionals who can be the subject of a claim for professional malpractice, explaining: As to Stark, the motion is denied as to the third... Read more »

Posted: December 29, 2017

Defendant’s Failure to Disclose its Business Plans Cannot be Basis for Fraud Claim

On December 14, 2017, Justice Scarpulla of the New York County Commercial Division issued a decision in Transit Funding Associates LLC v. Capital One Equipment Finance Corp., 2017 NY Slip Op. 32631(U), holding that absent an independent duty to do so, a defendant could not be held liable for fraud for failing to disclose its... Read more »

Posted: December 27, 2017

Failure Strictly to Comply With Service Requirements of LLC Law 304 Makes Service Ineffective

On December 22, 2017, the Fourth Department decided in Chan v. Onyx Capital, LLC, 2017 NY Slip Op. 08966, holding the failure strictly to comply with the service requirements of LLC Law Section 204 makes service ineffective, explaining: We agree with SRP that plaintiff failed to comply strictly with Limited Liability Company Law § 304... Read more »

Posted: December 26, 2017

Prior Representation Not Shown to be Substantially Related so as to Justify Attorney Disqualification

On December 21, 2017, the Third Department issued a decision in NYAHSA Services, Inc., Self-insurance Trust v. People Care Inc., 2017 NY Slip Op. 08930, holding that a prior representation was not so substantially related to a current dispute in which prior counsel was adverse so as to justify that counsel’s disqualification, explaining: A party... Read more »

Posted: December 25, 2017

Questions of Fact Preclude Dissolution of Partnership on Summary Judgment

On December 12, 2017, Justice Bransten of the New York County Commercial Division issued a decision in Magid v. Magid, 2017 NY Slip Op. 32603(U), holding that questions of fact precluded summary judgment in a dissolution action, explaining: On their first cause of action, plaintiffs seek an Order dissolving 110 East, and giving plaintiffs the... Read more »

Posted: December 24, 2017

Upcoming Arguments in the Court of Appeals in January

Upcoming arguments in the Court of Appeals in January 2018 that may be of interest to commercial litigators include: Forman v Henkin APL-2016-00222 (to be argued Tuesday, January 2, 2018) (“Disclosure–Discovery and Inspection–Scope of disclosure–social media–whether a personal injury plaintiff may be compelled to produce photographs privately posted on Facebook and authorizations related to plaintiff’s... Read more »

Posted: December 23, 2017

Transcripts and Videos of Arguments in the Court of Appeals for November 2017 Now Available

On November 6, 2017, we noted four cases of interest from the oral arguments before the Court of Appeals in November 2017: Desrosiers v Perry Ellis Menswear (No. 121) and Vasquez v National Securities Corporation (No. 122) (argued on Tuesday, November 14, 2017) (“Actions–Class Actions–Whether putative class members were entitled to notice of discontinuance of... Read more »

Posted: December 22, 2017

General Provisions of Delaware LLC Law Do Not Trump Specific Provisions of LLC Agreement

On December 14, 2017, the First Department issued a decision in Estate of Calderwood v. ACE Group International LLC, 2017 NY Slip Op. 08750, holding that the general provisions of the Delaware law limited liability company regarding personal representatives did not trump the specific provisions of an LLC agreement, explaining: According to defendants, under the... Read more »