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

On February 1, 2024, Justice Andrea Masley of the New York County Commercial Division, issued a decision in Gerasimowicz v Aslanis, 2024 NY Slip Op 30384(U), Index No. 654322/2013, granting defendants’ motion to preclude plaintiff from calling seven witnesses at trial based on plaintiff’s failure to identify those witnesses despite being repeatedly asked to do so during discovery or pursuant to the Court-ordered pre-trial schedule. The Court rejected plaintiff’s argument that this failure could be cured by permitting the witnesses to be deposed before trial, noting plaintiff’s repeated failure to comply with discovery orders. The Court explained: Read More

On September 14, 2023, Justice Jennifer G. Schecter of the New York County Commercial Division issued a decision after trial in Han v Kwak, Index No. 654281/2018, 2023 NY Slip Op 33207(U), entering “judgement in favor of defendant Robert Kwak despite evidence clearly and convincingly proving that he defrauded her.” The Court held that the claims for recission or rescissory damages against defendant Kwak could not stand because he was not “her contractual counterparty.” The Court explained: Read More

On February 21, 2023, Justice Joel M. Cohen of the New York County Commercial Division issued a decision in Baker v. Waller Capital Corp., 2023 N.Y. Misc. LEXIS 709, granting plaintiff’s motion to amend in part to add claims for fraudulent conveyance and conversion against certain defendants. The Court explained: Read More

In a Decision and Order, dated January 27, 2023, in Beach v. Touradji Capital Mgmt, LP, Index No. 603611/2008, Justice Andrea Masley granted Defendant’s motion to preclude Plaintiffs from offering evidence and testimony regarding distributions made between 2012 and 2018 that were the subject of a separate lawsuit. The Court explained: Read More

In an Opinion, dated October 1, 2022, in 30-32 W. 31st LLC v. Heena Hotel LLC, Index Number 651918/2012, 2022 NYLJ LEXIS 1774, Justice Joel M. Cohen denied both parties’ motions for post-trial relief. The Court explained: Read More

In a Decision After Trial, decided September 20, 2022, in Shatz v. Chertok, Index No. 655620/2018, 2022 NYLJ LEXIS 1635, Justice Jennifer Schecter held that the defendant managing member of an LLC did not breach his duty to the plaintiff non-managing member when he failed to present an opportunity to invest in a company known as Ripple Labs, Inc. The Court explained: 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 August 8, 2022, in Cf 125 Holdings LLC v. 125 LLC et al., Index No. 850143/2019, Justice Andrea Masley of the New York County Commercial Division granted in part and denied in part defendant’s motion to seal documents pursuant to Section 216.1 of the Uniform Rules for New State Trial Courts distinguishing communications that contain strategic information and could give a competitor an unearned advantage from documents that contain information that is inflammatory or embarrassing but not proprietary or confidential. The Court explained: Read More

On January 20, 2022, Justice Andrea Masley of the New York County Commercial Division issued a decision in Line Design LLC v. Pro Design, Inc., 2022 N.Y. Slip Op. 30214(U), striking portions of an expert's report that purported to opine on a party's intent but refusing to strike other portions that were challenged on the ground that the expert conducted an inadequate investigation, explaining: Read More

On October 19, 2021, Chief Administrative Judge Lawrence K. Marks promulgated new Rule 36 of the Commercial Division Rules, which expressly permits evidentiary hearings and bench trials to be held virtually. The new rule, which becomes effective December 13, 2021, now expressly permits what most Commercial Division justices were already doing--holding hearings and bench trials virtually. The rule also permits the court to allow a witness or party to participate in an evidentiary hearing or bench trial virtually, even if the hearing or trial is otherwise being held in person. The rule is limited to instances in which all parties consent, and expressly does not address (one way or another) the issue of when all parties do not consent. The new rule is as follows: Read More

On March 25, 2020, the Second Department issued a decision in Boriello v. Loconte, 2020 NY Slip Op. … Read More

On November 26, 2013, the Court of Appeals issued a decision in DeVito v. Feliciano, Docket No. 195,… Read More