Business litigation often involves both contract and tort claims. A fraud or negligence claim that is deemed “duplicative” of a breach of contract claim, however, will be dismissed. When is that the case? The Westchester Commercial Division and the Appellate Division, Second Department recently answered this question in Oceanview Associates, LLC v. HLS Builders Corp.,
Contracts
Don’t Be a Fool: Ignoring an Arbitration Subpoena Comes with Consequences
A recent decision by Westchester Commercial Division Justice Gretchen Walsh demonstrates how even a non-party subpoena from an arbitrator can quickly and irrevocably lead to party status and considerable liability if you fail to respond. The case, In re Sivanesan v. YBF LLC et al., Index. No. 67996/2018, showed that parties who believe…
Second Department Affirms Westchester Commercial Division’s Dismissal of Breach of Contract Claim
Although contracts are to be construed in accordance with the parties’ intent, in New York, it is firmly established that the best evidence of what parties intend is what they say in writing. This rule is applied with special force when the agreement is negotiated at arm’s length or by sophisticated business people. Sometimes, parties…
Westchester Commercial Division Enforces a Forum Selection Clause Requiring Litigation in Nassau County
We’ve previously written about how judges in the Westchester Commercial Division will dismiss cases in which the contract at issue contains a forum selection clause requiring the parties to resolve their dispute elsewhere. On September 10, 2019, Justice Linda Jamieson issued another decision doing just that.
Satin v. 1-800 NY Bulbs Limited, Index No. …
What Can Go Wrong When Firing an Employee With “Skin in the Game”
Sometimes, companies want employees to think like owners, and for good reason. With a vested interest in their work and the team’s success, employees are more motivated to perform at the highest level. They also focus on what’s best for the business rather than just themselves. But firing an employee with “skin in the game”…
Property Sellers’ Representations About Existing Facts Survive Closing
Ordinarily in real estate sales, the seller’s pre-closing representations do not survive the closing unless the contract expressly states that they do. The situation is different, however, when the seller has made a pre-closing representation about a then-existing fact, like whether the tenants are current in rent. That was the state of facts alleged by…
When a Personal Guarantee Doesn’t Qualify for CPLR 3213 Treatment
CPLR 3213 enables litigants to efficiently and quickly enforce instruments for the payment of money only or a previously rendered judgment. The rule is a powerful tool for resolving business disputes. But as one Westchester County litigant recently learned (the hard way), it is limited in scope.
In Newman v. Poekler, Index…
Westchester Commercial Division Enforces a Forum Selection Clause Requiring Litigation in Another State
Most commercial contracts contain a choice of law and forum selection clause. If the contract says that disputes between the parties will only be heard in Delaware courts, the defendant can move to dismiss based on documentary evidence – the contract and the forum selection clause. Similarly, if a plaintiff files a breach of contract…