On March 17, 2021, Justice Borrok of the New York County Commercial Division issued a decision in Wilkins Media, LLC v. Oxigen Beverages, Inc., 2021 NY Slip Op. 30847(U), granting summary judgment in lieu of complaint based on a settlement agreement, explaining: Pursuant to CPLR § 3213, a motion for summary judgment in lieu of... Read more »
Blogs
Posts Categorized: Judgment and Collection
That LLC Was Not Formed When it Was Assigned Note Did Not Cause it to Lack Standing to Enforce Note
On March 10, 2021, the Second Department issued a decision in Torto Note Member, LLC v. Babad, 2021 NY Slip Op. 01438, holding that even though an LLC was not formed when it was assigned a note, the LLC had standing to sue on the note, explaining: The appellants also failed to raise a triable... Read more »
Acknowledgement of Debt Can Be Valid Even if it Contains Ambiguities
On March 4, 2021, the First Department issued a decision in Hawk Mtn. LLC v. RAM Capital Group LLC, 2021 NY Slip Op. 01349, holding that an acknowledgement of a debt can be valid even if it contains ambiguities, explaining: In opposition to defendant’s initial showing that the time in which to commence this action... Read more »
Lien Recorded Under Debtor’s Correct Surname Valid Even Though First Name Was Incorrect
On December 23, 2020, The Appellate Division, Second Department issued a decision in Myrtle 684, LLC v. Tauber, 2020 NY Slip Op. 07901, holding that a deed recorded under a debtor’s correct surname was created a valid lien even though the debtor’s first name was not correctly spelled, explaining: CPLR 5203(a) gives priority to a... Read more »
Accounts Receivable are Tangible Assets
On May 1, 2020, the Fourth Department issued a decision in Violet Realty, Inc. v. Amigone, Sanchez & Mattrey, LLP, 2020 NY Slip Op. 02592, holding that accounts receivable are tangible assets, explaining: We agree with plaintiff, however, that the court erred in granting defendant’s cross motion insofar as it seeks a determination that defendant’s... Read more »
Failure to Serve Judgment Debtor Dooms Creditor’s Attempts to Collect
On April 10, 2020, Justice Borrok of the New York County Commercial Division issued a decision in Kasen v. Mission Cantina, LLC, 2020 NY Slip Op. 30929(U), holding that the failure to serve the judgment debtor doomed a creditor’s attempts to collect, explaining: CPLR § 5225 (a) provides: (a) Property in the possession of judgment... Read more »
Garnishee Liable for Transfer of Restrained Funds
On January 22, 2020, the Second Department issued a decision in Matter of Bravado Intl. Group Merchandising Servs., Inc. v. United States Tennis Assn. Inc., 2020 NY Slip Op. 00410, holding that a garnishee was liable for transferring restrained funds, explaining: Pursuant to CPLR 5222(b), a judgment creditor may serve a notice to restrain or... Read more »
Judgment Creditor Did Not Create Lien on Debtor’s Property Because Debtor’s Name Was Misspelled
On December 18, 2019, the Second Department issued a decision in Matter of Fischer v. Chabbott, 2019 NY Slip Op. 09002, holding that a judgment creditor failed to create a lien on a debtor’s property because the debtor’s name was misspelled on the judgment the creditor had docketed, explaining: CPLR 5203(a) gives priority to a... Read more »
Foreign Judgment Takes Precedence over Settlement Agreement That the Judgment Enforced
On December 24, 2019, the Second Department issued a decision in Bernardo v. Ramos, 2019 NY Slip Op. 09245, holding that a foreign judgment takes precedence over a settlement agreement that the judgment enforced, explaining: The parties entered into a compromise agreement dated May 18, 2004, in the Philippines, whereby the defendant agreed to pay... Read more »
Court Finds High Burden for Appointing Receiver Met
On October 23, 2019, Justice Borrok of the New York County Commercial Division issued a decision in Wells Fargo Bank, N.A. v. Andalex Aviation II, LLC, 2019 NY Slip Op. 33165(U), finding that a plaintiff had met the high burden for the appointment of a receiver, explaining: Finally, the Plaintiff seeks to appoint an independent... Read more »