As part of the parties’ divorce settlement, the husband kept an account held by Bernie Madoff and his firm. Upon learning of the Madoff fraud, the husband asked the court to reform the agreement to divide the parties’ assets as the Madoff account was worthless or non-existent. After finding that…
New York Business Litigation Lawyer Blog
Attempted Service at Foreclosed Property Insufficient
Lender’s counsel had the defendant served with the summons and complaint at the property that it sought to foreclose and at another address listed with the parking violations bureau. The process server could not locate the defendant at the foreclosed property and, when told that the defendant lived at the…
Heart Attack Three Years after Accident Possibly Related
In February 2005, plaintiff was hit as he crossed a street. Plaintiff complained of chest pain and was treated for heart-related injures. Plaintiff suffered a heart attack in February 2008 and argued that the accident was the cause of the heart attack. Defendant’s doctor stated that the heart attack did…
Buyer’s Death Requires Heirs to Close
Buyer entered into a contract to purchase a co-op. In connection with doing so, the buyer put his $230,000 deposit into escrow. Between his signing of the contract and closing, the buyer died. The seller argued that the contract was binding on the buyer’s heirs and demanded that the heirs…
Court Compels Borrower and Lender to “Split the Difference”
A foreclosure action reached an impasse when a borrower agreed to pay $2000 per month while the lender would accept no less than $3000. After noting that the court could allow the negotiations to stall, and the foreclosure to continue, the court, suspecting that the lender engaged in discriminatory lending,…
Dogs That Attack Neighbor Not Euthanized
Town of Hempstead sued to have three dogs that attacked a neighbor deemed dangerous and euthanized. Although the injuries incurred were sever, the court found that they were not “serious” as required by statute, and did not meet other statutory requirements. Thus, although the Court felt that the dogs were…
Bank Sanctioned and Existing Mortgage Discharged
In a dramatic case, a Suffolk County judge has cancelled a valid and existing note and mortgage. During the course of a foreclosure action, the bank, Indymac Bank, refused to cooperate in reasonable settlement negotiations, engaged in misleading tactics, could not establish the amount that was owed, and demanded full…
No Act of G-d in Failing to Maintain Sewer
Claimant sought $5,000 from the City of New York for flooding in her home. The City claimed that it was not negligent in maintaining the sewer system, and that no matter what the cause, because of the torrential rain, any flooding was an act of G-d, excusing any misconduct by…
Competition and Existing Contracts
In the normal course of events, two parties that enter into a contract are obligated to perform in accordance with that contract. Where a party fails to do so that party has breached the contract and will ordinarily be liable for any resulting damage to the other, non-breaching party. Although…
Oral Promise Does Not Extend Note’s Maturity Date
Plaintiff bank sued to collect on a note. Defendant claimed that a bank official orally extended the maturity date on its loan for an additional year so that defendant was not in default. Without denying the oral promise and the fact that negotiations had been undertaken, plaintiff claimed that the…