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Current Developments in the Commercial Divisions of the
New York State Courts by Schlam Stone & Dolan LLP
Posted: December 14, 2019

New York Action Properly Stayed in Favor of Prior Pending Action in New Jersey

On December 5, 2019, the First Department issued a decision in Dietz v. Linde Gas N. Am., LLC, 2019 NY Slip Op. 08789, holding that a New York action was properly stayed in favor of a prior pending action in New Jersey, explaining:

Supreme Court providently exercised its discretion in granting and then continuing a stay of this litigation pending an outcome in the New Jersey action, given the substantial identity of parties and claims in the two actions and the fact that the New Jersey action involves more comprehensive claims, including New Jersey statutory claims alleging racketeering and securities fraud, which encompass the issues in this litigation .

(Internal citations omitted).

This decision shows that sometimes (but not always) a court will dismiss a duplicative lawsuit. The question, of course, often turns on whether the lawsuit is truly duplicative. Contact Schlam Stone & Dolan partner John Lundin at jlundin@schlamstone.com if you or a client have a question about whether one of multiple lawsuits should be dismissed as duplicative.

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