Commercial Division Blog: Current Developments in the Commercial Divisions of the New York State Courts

Justice Joel M. Cohen of the New York County Commercial Division is seeking a new law clerk, commencing in September 2023. This is a one-year position, though can be renewed twice at the judge's discretion. Interested applicants can view the official job posting, which includes instructions on how to apply, by clicking on this link. Read More

On November 10, 2022, Justice Borrok of the New York County Commercial Division issued a decision in 85 Jane Realty, LLC v. Xhema of N.Y., Inc., 2022 NY Slip Op 33838(U) holding that a crossclaim for common law indemnification must be dismissed when the duty allegedly violated was not delegable. Read More

On October 4, 2022, Justice Cohen of the New York County Commercial Division issued a decision in Greenman v. Miller, et al., 2022 NY Slip Op 33355(U) holding that summary judgment was appropriate on a breach of fiduciary duty claim where the defendant was the company’s managing member and was therefore protected under the business judgment rule. Read More

On August 19, 2022, Justice Chan of the New York County Commercial Division issued a decision in Cattan v. Vasella, 2022 NY Slip Op 32814(U) holding that a forum selection clause requiring that the dispute be resolved in Switzerland was valid despite the interpretation of the German translation of portions of the clause implying that it did not govern disputes between the corporation and a corporate officer or director. Read More

On August 15, 2022, Justice Chan of the New York County Commercial Division issued a decision in Jaramillo v. Port Auth. of N.Y. & N.J., 2022 NY Slip Op 32745(U) holding that summary judgment was appropriate under Labor Law § 240(1) where a construction worker fell from a ladder and did not have adequate protection to protect him from injuries. Read More

On August 25, 2022, Justice Chan of the New York County Commercial Division issued a decision in Ohi Asset (NY) 93rd St., LLC v. Consigli Constr. Co., Inc., 2022 NY Slip Op 32908(U) holding that a defendant had standing to challenge document subpoenas issued to a non-party insurance company where the documents at issue related to the defendant’s financial insurance purchase transactions. Read More

On October 19, 2022, Justice Adam Silvera, New York County Administrative Judge, issued a decision in People v. Trump, Index No. 452564/2022, holding that this suit was properly assigned to Justice Arthur F. Engoron because he is presiding over a separate, "related" special proceeding that has not yet been marked as disposed, but further holding that, under section 202.70(e) of the Commercial Division Rules, Justice Engoron could still decide that the new case is not "related" to the prior one and request that the new case be transferred to the Commercial Division, explaining: Read More

On September 15, 2022, Justice Schecter of the New York County Commercial Division issued a decision in Moby S.P.A. v. Stanley, 2022 NYLJ LEXIS 1241 holding that a where a foreign plaintiff filed a baseless anti-SLAPP suit that was dismissed, the prevailing party could recover attorney’s fees. Read More

On July 28, 2022, Justice Borrok of the New York County Commercial Division issued a decision in Firescu v Diamond, 2022 NY Slip Op 32574(U) holding that a counterclaim should be dismissed on a theory of collateral estoppel where the issue was previously decided by an arbitration panel. Read More

On September 6, 2022, Justice Reed of the New York County Commercial Division issued a decision in Excelsia Leatherware Co. v. Horowitz, 2022 NY Slip Op 50847(U) holding that a party was entitled to a default judgment where the defendant failed to respond to the complaint and the plaintiff submitted proof of service and evidence proving the claim. Read More

On July 12, 2022, Chief Administrative Judge Lawrence K. Marks signed an administrative order amending Rule 15 of the Commercial Division Rules, adding a new sentence that provides, “By leave of court as provided by Rule 1 (d), attorneys are encouraged to use remote appearance technology in order to avoid adjournments of conferences.”  The purpose of the amendment is to assist with avoiding unnecessary delay of proceedings and consequent inefficiencies and loss of productivity. Read More

On June 16, 2022, Justice Borrok of the New York County Commercial Division issued a decision in L'Oreal USA, Inc. v Wormser Corp., 2022 NY Slip Op 31931(U) holding that claims for lost profits should be dismissed where the complaint failed to allege that the parties contemplated lost profits when entering into an agreement. Read More

On August 8, 2022, Justice Masley of the New York County Commercial Division issued a decision in Coresite 32 Ave. of the Ams., L.L.C. v. 32 Sixth Ave. Co. LLC, 2022 NY Slip Op 32670(U) holding that a party could not redact portions of its memorandum of law where the proposed redactions did not protect confidential business information. Read More

On May 4, 2022, Justice Chan of the New York County Commercial Division issued a decision in Board of Mgrs. of the 207-209 E. 120th St. Condominium v. Dougan, 2022 NY Slip Op 31491(U) holding that where a condominium’s bylaws did not explicitly state that attorneys’ fees were collectible when the Board of Managers was successful in litigation arising out of the governing agreements and laws, the Board of Managers was not entitled to collection of such fees. Read More

On July 26, 2022, Justice Borrok of the New York County Commercial Division issued a decision in Shabtai v. HFZ Capital Group, LLC, 2022 NY Slip Op 50669(U) holding that a party’s failure to update its address was not a reasonable excuse for not receiving process and the subsequent failure to respond warranted a default judgment. Read More

On July 14, 2022, Justice Reed of the New York County Commercial Division issued a decision in Atsco Footwear Holdings, LLC v. KBG, LLC, 2022 NY Slip Op 50657(U) holding that a party was not entitled to tax returns in discovery even where relevant unless the party shows that the information was not available from other sources. Read More

On June 7, 2022, The Business Council of New York State, Inc., held a webinar entitled "The Benefits of the Commercial Division to the State of New York."  The Business Council is New York State’s largest business organization--made up of approximately 3,500 member companies, local Chambers of Commerce, and professional and trade associations). This webinar discusses how the Commercial Division helps to increase business activity in New York, and to thus generate tax revenue and provide jobs. Specifically, this webinar discusses recent improvements to the Commercial Division’s rules, procedures, and operations that have been designed to be responsive to the needs and concerns of the business community. Read More

On May 11, 2022, Justice Masley of the New York County Commercial Division issued a decision in Irma C. Pollack LLC v. OP Dev. Corp., 2022 NY Slip Op 31541(U)holding that a complaint failed to properly plead that a party had pierced the corporate veil where the entities shared a principal officer and did not maintain separate offices. Read More

On May 2, 2022, Justice Chan of the New York County Commercial Division issued a decision in Cutie Pie Baby Inc. v. Sasson Law PLLC, 2022 NY Slip Op 31450(U) holding that a complaint properly alleged attorney malpractice where the plaintiff alleged that the attorney’s faulty advice was the “but for” cause of its damages resulting from an arbitration proceeding. Read More

On April 26, 2022, Justice Masley of the New York County Commercial Division issued a decision in DT Net Lease I Reit v. Coughlan, 2022 NY Slip Op 31381(U) holding that a settlement agreement was valid where the parties exchanged a draft settlement agreement and agreed to settle via email despite not having signed the draft agreement. Read More