top of page


Sole Remedy Clause May Not Insulate a Contracting Party From the Damages Caused by Its Gross Negligence
In the commercial world, parties to a transaction often allocate the risk of economic loss in the event the transaction is not fully executed by including a sole remedy clause in their agreement. New York courts have long upheld such contractual provisions. However, as the First Department of the New York Supreme Court, Appellate Division, recently held, there are exceptions. One such exception pertains to a party’s grossly negligent conduct. As explained in Morgan Stanley M

Jeffrey Haber
Aug 18, 20165 min read
bottom of page
