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Jurisdictional Defects and The Dismissal of Fraud-Based Claims on Limitations Grounds
By: Jeffrey M. Haber On April 3, 2025, the Appellate Division, First Department considered an appeal of the dismissal of a complaint involving the disputed authenticity of a painting (the “Work”) by the deceased artist Cy Twombly (“Twombly”). In Grosso v. Cy Twombly Found. , 2025 N.Y. Slip Op. 02007 (Apr. 03, 2025) ( here ), the Court unanimously affirmed the motion court’s dismissal of a complaint brought by the child of a parent who purchased works of art, including the Wor
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Apr 6, 202512 min read
Change of Venue, Convenience of Witnesses and Burdens of Proof
By: Jonathan H. Freiberger The term “venue” in the context of litigation refers to the location where the trial will take place. In general, and as previously described in prior articles, Venue, which is governed by Article 5 of the CPLR , is initially chosen by the plaintiff at the commencement of the action. Sometimes an improper venue is chosen by the plaintiff. In such circumstances, the defendant can move to change venue to a proper venue. CPLR 510(1) ; see also Kidd v.
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Apr 4, 20255 min read
Scope of Court Proceedings Limited By Parties’ Agreement
By: Jeffrey M. Haber In Idi v. Sela , 2025 N.Y. Slip Op. 01890 (1st Dept. Apr. 1, 2025) ( here ), the Appellate Division, First Department addressed an issue of contract interpretation that this Blog often examines: enforcing written agreements that are complete, clear, and unambiguous on their face. Under New York law, written agreements are construed in accordance with the parties’ intent . “The best evidence of what parties to a written agreement intend is what they say in
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Apr 2, 20257 min read
Who Decides Arbitrability? It Depends on The Agreement – Revisited
By: Jeffrey M. Haber Arbitration is an alternative to a court proceeding. It is an adversarial proceeding in which the parties can call witnesses and present evidence to a neutral arbitrator or panel of arbitrators. The rules of discovery and evidence are relaxed to make it a more cost-efficient process. Typically, arbitrations are conducted by a private firm in which an attorney or retired judge, selected by the parties, presides over the proceeding. Arbitration can be bindi
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Mar 31, 20257 min read
Why Do You Think They Are Called “Necessary Defendants” In Mortgage Foreclosure Actions?
By: Jonathan H. Freiberger There are certain categories of individuals and entities that are required to be named as defendants in mortgage foreclosure actions and the failure to name such “necessary defendants” can have serious implications. New York’s Real Property Actions and Proceedings Law § 1311 , which sets forth such “necessary defendants,” provides: Each of the following persons, whose interest is claimed to be subject and subordinate to the plaintiff's lien, shall
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Mar 28, 20254 min read
Enforcement News: SEC Charges Investment Adviser and His Firm with Violating Prior Settlement, Causing $1.6 million in Damages to Fund
By: Jeffrey M. Haber An investment company is a company that issues securities and primarily invests in securities. Among the securities laws applicable to investment companies, is the Investment Company Act (“ICA”). Congress enacted the ICA to provide for the registration and regulation of investment companies to protect investors from purchasing securities without the benefit of certain information about the securities, the investment company, and its management. An investm
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Mar 24, 20256 min read
Improperly “Serving” a Notice to Appoint a New Attorney on Borrower Pursuant to CPLR 321(c), Did Not Serve the Lender Well in a Mortgage Foreclosure Action
By: Jonathan H. Freiberger Today’s article relates to CPLR 321(c) , a topic we have addressed before < here =">here</a>"> and < here =">here</a>"> . As previously discussed in this BLOG, once an attorney appears and becomes the attorney of record, the client is free to change counsel by filing with the clerk, a substitution of counsel stipulation, which must also be served on “the attorneys for all parties in the action or, if a party appears without an attorney, to the par
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Mar 21, 20254 min read
Sparse Allegations of Material Misrepresentations and An Insincere Promise to Perform Under a Contract Held Not Sufficient to State a Claim for Fraud and Fraudulent Inducement
By: Jeffrey M. Haber To state a claim for fraud, a plaintiff must allege “a misrepresentation or a material omission of fact which was false and known to be false by defendant, made for the purpose of inducing the other party to rely upon it, justifiable reliance of the other party on the misrepresentation or material omission, and injury.” The claim must pleaded with particularity. Conclusory allegations will not suffice. Neither will allegations based on information and
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Mar 19, 20257 min read
Fraud Claims Found to Be Duplicative of Contract Claim Because of An Overlap in Facts and Circumstances and Damages
By: Jeffrey M. Haber In Crawford v. Integrated Asset Mgt. Servs., LLC , 2025 N.Y. Slip Op. 01352 (2d Dept. Mar. 12, 2025) ( here ), the Appellate Division, Second Department reversed the denial of the defendants’ motion to dismiss the plaintiffs’ fraud-based claims, among others, involving a home improvement project in Brooklyn, N.Y., on the grounds of duplication with the plaintiff’s breach of contract claims. Crawford is notable because the Court held that the fraud damage
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Mar 17, 20254 min read
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