On April 4, 2018, the Second Department issued a decision in Power Up Lending Group, Ltd. v. Cardinal Resources, Inc., 2018 NY Slip Op. 02351, holding that in deciding a motion for default due to non-appearance, a court could not consider affirmative defenses, explaining: Pursuant to CPLR 3215, a plaintiff may seek a default judgment… Read more »
Blogs
Posts Categorized: Judgment and Collection
Court Enters Judgment Enforcing Foreign Judgment
On January 30, 2018, Justice Sherwood of the New York County Commercial Division issued a decision in VTB Bank (PJSC) v. Mavlyanov, 2018 NY Slip Op. 30166(U), entering an order enforcing a foreign judgment, explaining: Article 53 of the CPLR (Recognition Act) provides that a foreign country judgment may be enforced by a motion for… Read more »
Allegations of Badges of Fraud Sufficient to Support Actual Fraudulent Conveyance Claim
On December 14, 2017, Justice Scarpulla of the New York County Commercial Division issued a decision in Capital One Equipment Finance Corp. v. Corrigan, 2017 NY Slip Op. 32632(U), holding that allegations of badges of fraud are sufficient to support a claim for actual fraudulent conveyance, explaining: Capital One also sufficiently states a claim against… Read more »
If a Debtor Controls Funds Escrowed to Pay Specific Creditors, Those Funds Are Subject to Other Creditors’ Claims
On November 15, 2017, the Second Department issued a decision in Freedman v. Hason, 2017 NY Slip Op. 07977, holding that even if a debtor escrows funds to pay specific creditors, those funds are subject to the claims of other creditors if the debtor retains control of the funds, explaining: Hason’s contention that the proceeds… Read more »
Even if Statutory Basis for Attachment Met, Must be Showing Judgment Will Not Be Paid
On April 21, 2017, Justice Friedman of the New York County Commercial Division issued a decision in Mascis Investment Partnership v. SG Capital Corp., 2017 NY Slip Op. 30813(U), holding that even where the statutory basis for an attachment is met, there must be a showing that there is a risk that the judgment will… Read more »
Acquiror of Judgment Debtor’s Assets Not Liable as Debtor’s Successor
On March 20, 2017, Justice Oing of the New York County Commercial Division issued a decision in Kolow v. Laidlaw & Co. (UK) Ltd., 2017 NY Slip Op. 30554(U), holding that a complaint failed to allege facts necessary to overcome the rule that the acquiror of a judgment debtor’s assets is not liable for its… Read more »
Motion to Correct Judgment Cannot be Used to Litigate New Issues
On February 15, 2017, Justice Ramos of the New York County Commercial Division issued a decision in DLJ Mortgage Capital, Inc. v. Hoey, 2017 NY Slip Op. 30303(U), denying a motion to correct a judgment because it sought to litigate new issues, explaining: A court has the inherent power to correct any mistake, defect or… Read more »
Court Finds Service of Information Subpoena/Restraining Notice on Party’s Counsel Adequate
On February 3, 2017, Justice Singh of the New York County Commercial Division issued a decision in Deutsche Bank AG v. Sebastian Holdings Inc., 2017 NY Slip Op. 30241(U), holding that service of an information subpoena and restraining notice on a party’s counsel was sufficient service, explaining: Defendant argues that it was not properly served… Read more »
An Interested Person May be Allowed to Intervene in Special Proceeding to Recover Debt
On August 19, 2016, Justice Kornreich of the New York County Commercial Division issued a decision in Wimbledon Financing Master Fund, Ltd. v. Bergstein, 2016 NY Slip Op. 31574(U), discussing the standard for intervention in a special proceeding to turn over funds to satisfy a judgment: Under CPLR 1012, a non-party shall be permitted to… Read more »
Rule 69, Which Provides that Money Judgments are Executed Under State Law, Applies to State Substantive Law
On April 11, 2016, the Second Circuit issued a decision in Mitchell v. Garrison Protective Servs., Inc., 15‐2137‐CV, discussing the procedure in federal court for collecting a judgment under state law as mandated by F.R.C.P. 69. Mitchell involved a challenge to determinations made in the course of a proceeding to collect on a judgment…. Read more »