Blogs

Monthly Archives: April 2021

Posted: April 30, 2021

Second Circuit Grants Article III Standing On Appeal and Revives SIBOR Class Action

Second Circuit Grants Article III Standing On Appeal and Revives SIBOR Class Action In Fund Liquidation Holdings LLC v Bank of Am. Corp., the Second Circuit overturned the Southern District’s decision to dismiss two Cayman Islands investment funds’ claims against numerous international banking institutions for lack of subject-matter jurisdiction. In doing so, the Second Circuit... Read more »

Posted: April 27, 2021

Party Asserting Unclean Hands Defense Must Have Been Injured by the Plaintiff’s Misconduct

On April 7, 2021, the Second Department issued a decision in Toobian v. Golzad, 2021 NY Slip Op. 02186, holding that a party asserting an unclean hands defense must have been injured by the plaintiff’s misconduct, explaining: The doctrine of unclean hands applies when the complaining party shows that the offending party is guilty of... Read more »

Posted: April 26, 2021

Fact Questions Preclude Dismissal of Claim Based on Oral Agreement to Purchase Real Estate on Statute of Frauds Grounds

On April 7, 2021, the Second Department issued a decision in Toobian v. Golzad, 2021 NY Slip Op. 02185, holding that fact questions precluded dismissal of claim based on an oral agreement to purchase real estate on statute of frauds grounds, explaining: The statute of frauds prohibits the conveyance of real property without a written... Read more »

Posted: April 25, 2021

Nonarbitrable Issues Can be Decided in an Arbitration When They Are Inextricably Intertwined With an Arbitrable Issue

On April 8, 2021, the First Department issued a decision in Protostorm, Inc. v. Foley & Lardner LLP, 2021 NY Slip Op. 02227, holding that nonarbitrable issues can be decided in an arbitration when they are inextricably intertwined with an arbitrable issue, explaining: Where there is no substantial question whether a valid agreement to arbitrate... Read more »

Posted: April 24, 2021

Decisions on How to Liquidate Made by LLC’s Managing Member Reviewed Under Deferential Business Judgment Rule

On April 6, 2021, the First Department issued a decision in Matter of FGLS Equity LLC, 2021 NY Slip Op. 02099, holding that decisions on how to liquidate an LLC made by the LLC’s managing member are reviewed under the deferential business judgment rule, explaining: The decisions of FGLS’s managing member and liquidator, Steven Turchin,... Read more »

Posted: April 23, 2021

That Defendant’s Claims Against Third Party Claims Arise From Same Factual Circumstances as Complaint Insufficient Basis for a Third-Party Claim if the Third Party is not Alleged to be Liable for Plaintiff’s Claim Against Defendant

On April 5, 2021, Justice Cohen of the New York County Commercial Division issued a decision in J.G. Jewelry PTE. LTD. v. TJC Jewelry, Inc., 2021 NY Slip Op. 31095(U), holding that just because a defendant’s claims arise out of the same factual circumstances as the complaint is an insufficient basis for a third-party claim... Read more »

Posted: April 22, 2021

Court Soundly Rejects Attempt to Disqualify Arbitrators

On April 5, 2021, Justice Masley of the New York County Commercial Division issued a decision in Huntsman Intl., LLC v. Albemarle Corp., 2021 NY Slip Op. 31073(U), soundly rejecting an attempt to disqualify arbitrators. She wrote: Under AAA rules, ARC decides conflict issues. Here, Albemarle fails to identify any AAA rule that barred Cavanaugh... Read more »

Posted: April 19, 2021

Good Faith and Fair Dealing Claim Rejected Because It Was Not Raised Until Summary Judgment

On April 13, 2021, the First Department issued a decision in Darabont v. AMC Network Entertainment LLC, 2021 NY Slip Op. 02240, rejecting a good faith and fair dealing claim because it was not raised until summary judgment, explaining: Plaintiffs’ claim that AMC breached the implied covenant of good faith and fair dealing by crafting... Read more »