On June 12, 2018, Justice Ostrager of the New York County Commercial Division issued a decision in Wiesen v. Potter, 2018 NY Slip Op. 31197(U), holding that the exception to the statute of frauds for contracts to pay a lawyer to negotiate the sale of a business does not require an attorney-client relationship, explaining: To… Read more »
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Posts Categorized: Contracts
Court Dismisses Claim, Enforcing No Damages for Delay Clause
On June 5, 2018, Justice Sherwood of the New York County Commercial Division issued a decision in Sciame Construction, LLC v. Trustees of Columbia University in the City of N.Y., 2018 NY Slip Op. 31167(U), dismissing a claim based on a construction contract’s no damages for delay clause, explaining: With respect to the third cause… Read more »
Whether Trade Confirmation is Enforceable Agreement is Question of Fact
On June 7, 2018, the First Department issued a decision in Seaport Global Securities LLC v SB Group Holdco, LLC, 2018 NY Slip Op. 04111, holding that whether a trade confirmation is an enforceable agreement is a question of fact, explaining: The motion court properly denied defendant’s motion to dismiss the amended complaint, as it… Read more »
City Damaged By Breach of Contract Even Though Mitigation Costs Paid by Federal Government
On June 7, 2018, the First Department issued a decision in City of New York v. Eastern Shipbuilding Group, Inc., 2018 NY Slip Op. 04113, holding that the plaintiff had alleged the damages element of its breach of contract claim even though a non-party had paid the cost of mitigating the damage, explaining: In support… Read more »
Court Excuses Failure to Perform Condition Precedent to Bringing Suit
On June 5, 2018, the First Department issued a decision in Danco Electrical Contractors, Inc. v. Dormitory Authority of the State of N.Y., 2018 NY Slip Op. 03935, excusing the failure to perform a condition precedent to bringing suit, explaining: It is undisputed that plaintiff failed to satisfy a condition precedent to recovering disputed costs… Read more »
Breach of Contract Action Barred by Contract’s Mandatory Mediation Provision
On May 24, 2018, the First Department issued a decision in Korangy v. Malone, 2018 NY Slip Op. 03767, holding that a breach of contract claim was barred by a contract’s mandatory mediation provision, explaining: The motion court correctly dismissed the breach of contract cause of action, as under the plain language of the operating… Read more »
Court Erred in Considering Extrinsic Evidence in Interpreting an Unambiguous Agreement
On May 16, 2018, the Second Department issued a decision in World Ambulette Transportation, Inc. v. Lee, 2018 NY Slip Op. 03560, holding that the trial court erred in considering extrinsic evidence in interpreting an unambiguous agreement, explaining: [W]e disagree with the Supreme Court to the extent that it determined that the parties’ written agreement… Read more »
Court Dismisses Claim Based on Theory That Defendant Was a Third-Party Beneficiary of Contract
On May 7, 2018, Justice Bransten of the New York County Commercial Division issued a decision in Labor Law 240 Risk Management, LLC v. CRC Insurance Services, Inc., 2018 NY Slip Op. 30859(U), dismissing a claim based on a third-party beneficiary theory, explaining: Acknowledging it is not a party to the MPA, plaintiff LL240RM contends… Read more »
Failure to Use Contract’s Pre-Suit Dispute Resolution Process Dooms Claim
On May 3, 2018, the First Department issued a decision in MPEG LA, L.L.C. v America Information Systems, Inc., 2018 NY Slip Op. 03210, dismissing a claim for failure to use a pre-suit audit procedure, explaining: The claim that Toshiba under-reported and underpaid royalties under the parties’ license agreement was correctly dismissed because plaintiff failed… Read more »
Specific Performance on Real Estate Contract Inappropriate Where No Evidence of Plaintiff’s Ability to Close
On April 18, 2018, Justice Ash of the Kings County Commercial Division issued a decision in Silvershore Props. LLC v. Dunning, 2018 NY Slip Op. 30715(U), denying specific performance of a contract to sell real property, explaining: Typically, a contract is not breached until the time set for performance has expired. To prevail on a… Read more »