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MIND THE GAP – RENEWAL JUDGMENTS UNDER CPLR § 5014
In New York State, money judgments are valid for 20 years. CPLR § 211(b) . Money judgments recorded in the county in which real property is located remain liens on that real property for only 10 years. CPLR § 5203(a) . The CPLR, however, permits a judgment creditor to obtain a “renewal judgment,” which would operate to extend the lien of a money judgment on real property for an additional 10-year period. CPLR § 5014 . Thus, CPLR § 5014 presently provides, in pertinent p
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Feb 14, 20205 min read
Court Finds Promise of Future Performance and Anti-Reliance Provision in Merger Clause Preclude Fraudulent Inducement Affirmative Defense
On February 6, 2020, Justice Jennifer G. Schecter of the Supreme Court, New York County issued a decision in which she ruled, among other things, that Kesha Rose Sebert (better known by her stage name as Kesha) defamed Lukasz Gottwald (“Gottwald”), the music producer known as Dr. Luke, and Kesha’s former producer, when she claimed, in a text message to Lady Gaga, that he had raped Katy Perry. Gottwald v. Sebert , 2020 N.Y. Slip Op. 30347(U) (Sup. Ct., N.Y. County Feb. 6, 2020
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Feb 12, 20207 min read
Fraud Notes: N.Y. Supreme Courts Address Fraud and Fraudulent Inducement Claims
Readers of this Blog know that we like to write about fraud cases. After all, a fraud can be perpetrated in so many contexts. Indeed, the circumstances upon which one can deceive another are limited only by the imagination of the wrongdoer. Sometimes, there are too many reported decisions for us to examine in the depth to which our readers have become accustomed. For this reason, we have created the “Fraud Notes” post in which we will examine multiple decisions addressing fra
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Feb 10, 20209 min read
THE SECOND DEPARTMENT DECIDES INTERESTING ISSUES UNDER RPAPL §1304
On numerous occasions, this Blog has addressed issues surrounding certain notice obligations imposed on mortgage lenders foreclosing on residential property. For example, section 1303 of the Real Property Actions and Proceedings Law (“RPAPL”) requires that, under certain circumstances relating to residential property, a foreclosing mortgagee must send statutory notice to the mortgagor and tenants advising them, among other things, that they are in danger of losing their hom
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Feb 7, 20204 min read
Fourth Department Vacates Portion of Arbitral Award Because Arbitrator Exceeded His Authority
In New York, arbitration, like other alternative dispute resolution mechanisms, is valid and enforceable. Westinghouse v. New York City Tr. Auth. , 82 N.Y.2d 47, 54 (1993) (“Considerable authority thus supports the validity and enforceability of alternative dispute resolution mechanisms.”). Like many jurisdictions, New York has a strong public policy that favors arbitration. In fact, arbitration is not only favored but encouraged “as an effective and expeditious means of reso
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Feb 5, 20204 min read
Enforcement News: SEC Charges Accountant with Affinity Fraud
Investment scams come in many forms. Affinity fraud is one type of investment scam. In this form of fraud, the person committing the fraud preys upon members of an identifiable group, such as a religious or ethnic community, the elderly, or a professional group. The promoter of an affinity fraud frequently is – or pretends to be – a member or a good friend of the group. The fraudster often enlists respected members of the community or religious leaders from within the group t
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Feb 3, 20205 min read
NEW YORK SUPREME COURT ANALYZES WHETHER AN “OWNER” CAN ALSO BE A “CONTRACTOR” FOR LIEN LAW TRUST FUND DIVERSION PURPOSES
In this Blog’s post entitled: “ Real Property Owners and Contractors should be Aware of the Trust Fund Provisions of New York’s Lien Law ,” the trust fund provisions of New York’s lien law were discussed. A brief recap of this Blog’s prior post as it relates to this post may be informative. Lien Law §71 recognizes two types of trusts – (1) the owner trust and (2) the contractor/subcontractor trust. The assets of the owner trust “shall be held and applied to the cost of im
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Jan 31, 20205 min read
Court Holds Text Message Inadmissible Evidence to Support Breach of Contract Claim
Commercial transactions by their nature involve contracts. Sometimes, the parties involved in such transactions will dispute the meaning of their agreement. It may be that the language used is ambiguous; or the language is reasonably clear but is susceptible to different meanings; or although the language is clear, taken literally, it might not reflect the parties’ intent; or, as is often the case, an event has occurred that was not contemplated by the parties at the time of
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Jan 29, 20208 min read
Statute of Limitations, The Continuing Wrong Doctrine and an Alleged Fraudulent Insurance Scheme
Statutes of limitations limit the duration of a defendant’s liability for all types of alleged wrongdoing. Plaintiffs who do not pursue their rights within the limitation period will find the courthouse doors closed to their claims. For this reason, whether the statute of limitations has run can be an important topic of discussion between a lawyer and her client. The statute of limitations for a fraudulent inducement claim is the greater of (a) six years from the date when t
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Jan 27, 202011 min read
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