Blogs

Posts Categorized: Contracts

Posted: June 1, 2020

Non-Recruitment Provision Reasonable, and Thus Enforceable

On April 19, 2020, Justice Masley of the New York County Commercial Division issued a decision in First Am. Fin. Corp. v. Verisk Analytics, Inc., 2020 NY Slip Op. 31288(U), holding that a non-recruitment provision in an agreement to sell a business was reasonable, and thus enforceable, explaining: Plaintiffs also argue that they are entitled... Read more »

Posted: May 29, 2020

Liquidated Damages Provision Eliminates Need for Plaintiff to Mitigate Damages

On April 24, 2020, Justice Scarpulla of the New York County Commercial Division issued a decision in Gorelick v. Cushman & Wakefield, Inc., 2020 NY Slip Op. 31298(U), holding that a liquidated damages clause eliminates the need for the plaintiff to mitigate its damages, explaining: Plaintiff moves to dismiss the Third Affirmative Defense, which alleges... Read more »

Posted: May 10, 2020

Landlord’s Acceptance of Rent from Entity Other Than Lessee Did Not Waive Lease’s Non-Assignment Provisions

On May 6, 2020, the Second Department issued a decision in VRA Family L.P. v. Salon Mgt. USA, LLC, 2020 NY Slip Op. 02639, holding that a landlord’s acceptance of rent from an entity other than the lessee did not waive the lease’s non-assignment provisions, explaining: [D]efendants failed to raise a triable issue of fact... Read more »

Posted: May 9, 2020

Plaintiff Entitled to Summary Judgment in Lieu of Complaint on Guaranty Even Though Guaranty Was Not for a Sum Certain

On May 6, 2020, the Second Department issued a decision in Metro-Gem Leasing & Funding Corp. v. Dancy Auto Group, LLC, 2020 NY Slip Op. 02638, holding that a plaintiff was entitled to summary judgment in lieu of complaint on a guaranty even though the guaranty was not for a sum certain, explaining: We agree... Read more »

Posted: April 29, 2020

Non-Compete Clause Covering All of United States and Canada Unenforceable

On April 13, 2020, Justice Borrok of the New York County Commercial Division issued a decision in Stone Source, LLC v. Hubbard, 2020 NY Slip Op. 30941(U), holding that a non-compete provision covering all of the United States and Canada was unenforceably over-broad, explaining: A restrictive covenant will only be upheld to the extent that... Read more »

Posted: April 16, 2020

Breach of Contract Claim Dismissed for Failure to Identify Contract Terms that Were Breached

On April 2, 2020, Justice Ostrager of the New York County Commercial Division issued a decision in Icon DE Holdings, LLC v. Mondani Handbags & Accessories, Inc., 2020 NY Slip Op. 30904(U), dismissing a breach of contract claim for failure to identify the specific terms of the contract that were breached, explaining: Plaintiff argues that... Read more »

Posted: April 3, 2020

Unilateral Mistake Claim Fails in the Absence of Allegations of Fraud or Other Wrongdoing

On March 19, 2020, the First Department issued a decision in Quattro Parent LLC v. Rakib, 2020 NY Slip Op. 01966, holding that unilateral mistake claims fail in the absence of evidence of fraud or other wrongdoing, explaining: The motion court also correctly rejected defendant’s unilateral mistake-based defense and counterclaim, because there was no showing... Read more »