Blogs

Posts Categorized: Contracts

Posted: February 26, 2019

Employment Contract Term Waiving Claims for Workplace Injuries Unenforceable in New Jersey

On December 11, 2017, the New Jersey Supreme Court issued a decision in Vitale v. Schering-Plough Corporation, No. 078294, holding that a pre-accident agreement disclaiming liability was unenforceable, explaining: In section 39, the Legislature declared a public policy regarding certain agreements entered into in advance of a workplace accident: No agreement, composition, or release of... Read more »

Posted: February 26, 2019

Dissolved Corporation Can Bring Claim as Part of its Winding Up

On February 8, 2019, Justice Borrok of the New York County Commercial Division issued a decision in A&B Deli Inc. v. 251 Sixth Ave., LLC, 2019 NY Slip Op. 30289(U), holding that a dissolved corporation could bring a claim as part of its winding up, explaining: The Defendant argues that the action must be dismissed... Read more »

Posted: February 24, 2019

Lack of Consideration Defense Even to Unconditional Guaranty

On February 19, 2019, the First Department issued a decision in Moon 170 Mercer, Inc. v. Vella, 2019 NY Slip Op. 01187, holding that lack of consideration is a defense even to an unconditional guaranty, explaining: Based on the reinstatement of the wrongful eviction claim asserted by the nonparty tenant against respondent landlord Moon 170 Mercer, Inc.... Read more »

Posted: February 23, 2019

Employer Failed to Justify Injunction Enforcing Restrictive Covenant With Former Employee

On February 7, 2019, the First Department issued a decision in Harris v. Patients Med., P.C., 2019 NY Slip Op. 00974, holding that an employer had failed to justify an injunction enforcing a restrictive covenant with a former employee, explaining: A preliminary injunction is an extraordinary provisional remedy which will only issue where the proponent demonstrates... Read more »

Posted: February 22, 2019

RMBS Trustee’s Failure to Give With Notice to Cure Within Limitations Period Does Not Bar Trustee from Curing Failure and Refiling Suit

On February 19, 2019, the Court of Appeals issued a decision in U.S. Bank Natl. Assn. v. DLJ Mtge. Capital, Inc., 2019 NY Slip Op. 01169, holding that an RMBS “[t]rustee’s failure to comply with the notice and cure or repurchase condition precedent within the applicable statute of limitations does not foreclose refiling of its... Read more »

Posted: February 20, 2019

RMBS Trustee’s Untimely-Filed Complaint Cannot Relate Back to Certificateholder’s Suit on Behalf of Trust, Which Was Barred by Trust’s No Action Clause

On February 19, 2019, the Court of Appeals issued a decision in U.S. Bank Natl. Assn. v. DLJ Mtge. Capital, Inc., 2019 NY Slip Op. 01168, holding that where a party without standing to bring an action on behalf of a trust under the trust’s no action clause timely brings an action on behalf a... Read more »

Posted: February 18, 2019

Even Though Home Improvement Contract Was Unenforceable for Failure to Provide Required Notice, Plaintiff Still Could Recover Value of Work Performed

On February 8, 2019, the Fourth Department issued a decision in Weiss v. Zellar Homes, Ltd., 2019 NY Slip Op. 01024, holding that even though a home improvement contract was unenforceable, the defendant still could recover the reasonable value of the work it performed, explaining: We agree with plaintiffs on their appeal that Supreme Court erred... Read more »

Posted: February 11, 2019

Letter of Intent Binding Contract Requiring Parties to Negotiate and Consummate Sale Transaction

On January 28, 2019, Justice Ash of the Kings County Commercial Division issued a decision in A.J. Richard & Sons, Inc. v. Forest City Ratner Cos., LLC, 2019 NY Slip Op. 30215(U),holding that a letter of intent was a binding agreement to negotiate and consummate a sale transaction, explaining: In determining whether the parties intended to... Read more »

Posted: January 21, 2019

Even Though Contract Gave the Defendant Discretion to Calculate Losses on Sale, it Was Required to Exercise That Discretion Reasonably

On January 17, 2019, the First Department issued a decision in Lehman Bros. Intl. (Europe)(in administration) v. AG Fin. Prods., Inc., 2019 NY Slip Op. 00364, holding that even though a contract gave the defendant the discretion to take certain acts, it had to exercise that discretion reasonably, explaining: Despite the discretion afforded to defendant under... Read more »