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Posts Categorized: Fiduciary Duties

Posted: November 26, 2018

Joint Venture’s Controlling Shareholder Liable for Aiding and Abetting Manager’s Breach of Fiduciary Duty

On October 22, 2018, Justice Ramos of the New York County Commercial Division issued a decision in U-Trend N.Y. Inv. L.P. v. US Suite LLC, 2018 NY Slip Op. 32894(U), holding the controlling shareholder of a joint venture liable for aiding and abetting a manager’s breach of fiduciary duty by failing to take action to… Read more »

Posted: October 14, 2018

Contractual Right to Take Actions Cannot Shield Fiduciary From Breach of Fiduciary Duty Claim if Fiduciary Acted in Bad Faith

On September 28, 2018, Justice Scarpulla of the New York County Commercial Division issued a decision in Yu v. Guard Hill Estates, LLC, 2018 NY Slip Op. 32466(U), holding that a contractual right to take certain actions cannot shield a fiduciary from a breach of fiduciary duty claim if the fiduciary acted in bad faith, explaining:… Read more »

Posted: August 1, 2018

Accounting Denied For Lack of Fiduciary or Confidential Relationship

On July 25, 2018, the Second Department issued a decision in Lake Overlook Partners, LLC v. Sosa, 2018 NY Slip Op. 05459, holding that a plaintiff was not entitled to an accounting where there was no fiduciary or confidential relationship, explaining: We also agree with the Supreme Court’s determination granting those branches of the defendant’s… Read more »

Posted: July 24, 2018

Breach of Fiduciary Duty Claim Dismissed on Summary Judgment for Lack of Damages

On July 10, 2018, Justice Schecter of the New York County Commercial Division issued a decision in Board of Directors of Windsor Owners Corp. v. Platt, 2018 NY Slip Op 31600(U), dismissing a breach of fiduciary duty claim on summary judgment for lack of damages, explaining: Damages is an essential element of breach of fiduciary… Read more »

Posted: June 28, 2018

Breach of Fiduciary Claim Reinstated; it Was Not Duplicative of Contract Claim Because it Sought Separate and Distinct Relief

On June 20, 2018, the Second Department issued a decision in Slocum Realty Corp. v. Schlesinger, 2018 NY Slip Op. 04587, holding that a breach of fiduciary claim was not duplicative of a breach of contract claim because it sought separate and distinct relief, explaining: The Supreme Court also erred in granting those branches of… Read more »

Posted: April 16, 2018

Sexual Harassment of Employees is Not a Breach of an Executive’s Fiduciary Duties to His Employer

On April 2, 2018, Justice Scarpulla of the New York County Commercial Division issued a decision in Pozner v. Fox Broadcasting Co., 2018 NY Slip Op. 30581(U), holding that an executive did not breach his fiduciary duty to his employer by sexually harassing employees, explaining: Fox’s breach of fiduciary duty counterclaim, however, is not tenable…. Read more »

Posted: April 4, 2018

Close Friendship Insufficient to Create Fiduciary Relationship

On March 29, 2018, the First Department issued a decision in Benzies v. Take-Two Interactive Software, Inc., 2018 NY Slip Op. 02242, holding that a close friendship was insufficient to create a fiduciary relationship, explaining: The breach of fiduciary duty claim is not viable because the complaint alleges only arm’s length business transactions and no… Read more »

Posted: January 5, 2018

Fiduciary Duty Claim Against Former Counsel Based on Conflict Timely Even Though Malpractice Claim Untimely

On December 28, 2017, the First Department issued a decision in Palmeri v. Willkie Farr & Gallagher LLP, 2017 NY Slip Op. 09252, holding that a breach of fiduciary duty claim against former counsel was timely based on a conflict even though the related malpractice claim was untimely, explaining: Plaintiff’s claim for legal malpractice, in… Read more »

Posted: November 7, 2017

Fiduciary Duty Claim Dismissed as Duplicative of Contract Claim

On November 2, 2017, the First Department issued a decision in Elmrock Opportunity Master Fund I, L.P. v. Citicorp North America, Inc., 2017 NY Slip Op. 07678, affirming the dismissal of breach of fiduciary claims as duplicative of breach of contract claims, explaining: As to Citicorp the fiduciary duty claim was correctly dismissed as duplicative… Read more »