Plaintiff claims that shortly after they built their house, they placed sod, and a tree and bushes on a strip of land at the edge of defendant’s property, and then linked the area to their in-ground sprinkler system. Defendant purchased its adjoining property after this had been done. After defendant…
New York Business Litigation Lawyer Blog
Unsigned Employment Contract Enforced
Plaintiff was induced to leave his current employment and start working at defendant’s agency. As part of the parties’ agreement, plaintiff was promised six months’ severance if terminated without cause. Plaintiff signed the agreement but, despite receiving an email from a board member welcoming him aboard, defendant did not sign…
Recent Case Asserting COVID-19 Defense Fails
While short on facts, a recent decision out of the Southern District rejected the defendants’ claim that their inability to pay on a consent judgment was due to COVID-19. The defendants did not deny liability, only that their payment should be excused because the virus and the circumstances rendered them…
Multiple Claims of Breach Dismissed as “Lacking Specificity”
Licensor sued a licensee for breaching an agreement to pay certain fees. In responding, the licensee counterclaimed for breach of the parties’ agreement. In doing so, it lumped together multiple allegations of breach into one cause of action but without detailing the specific contract provisions that the licensor violated. The…
Prior Conduct in Adjourning Closings May Preclude Default in Failing to Close
Plaintiff agreed to buy and defendant to sell, three contiguous parcels of property. The parties had set a time of the essence closing date, at which closing, plaintiff did not appear. However, a week before that closing, plaintiff’s attorney informed defendant’s that the lender’s appraisal was pending, and asked to…
Offer to Pay for an Extended Closing Date Insufficient to Avoid Default
A buyer signed a contract and paid a downpayment as part of the purchase of real property. The buyer did not show at a time of the essence closing, leading the seller to declare its default and intention to retain the downpayment as damages. Some eight months later, the buyer…
Contractual Obligations In a World of COVID-19
Many contracts are being pulled out for review to ascertain how COVID-19 affects them. I have received some preliminary inquiries and briefly address the topic here. Contractual force majeure, or “acts of Gd,” provisions found in a contract are a specific variation of a party’s inability to perform due to…
Arbitration Award Vacated as Violative of Public Policy
It is no secret that convincing a judge to vacate or even modify an arbitration award is a tall order. Even more difficult is to vacate based on a public policy argument. To establish vacatur on public policy grounds, a petitioner must show either that the arbitrator decided an issue…
Buyer’s Refusal to Close with Dissolved Corporation Held a Breach of Contract
Owner of a property entered into a contract for its sale. At the time of the contract, Owner, a corporation, was dissolved by proclamation. The contract had a one-year closing date, time being of the essence, but if there was no closing, Buyer’s downpayment would be returned upon its termination…
Court Enforces Unsigned Agreement
Early in 2019, we discussed the binding effect and enforcement of an unsigned agreement. This case again addresses this idea, although in a different setting, but also stands for the proposition that because the agreement did not “positively state that the parties could assent only by signing,” the unsigned (but…