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Promissory Notes

McGlinchey Stafford

FCRA Claims Fail as Mortgagor Could Not Satisfy His Repayment Obligations by Tendering Another Promise to Pay

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On September 19, 2024, the District Court for the Eastern District of New York dismissed claims against the mortgage lender, its mortgage servicer, and credit reporting agencies under the Fair Credit Reporting Act (FCRA), 15...more

Mandelbaum Barrett PC

Spotlight On: Purchase and Sale of Promissory Notes

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Promissory notes play a critical role in financial transactions, serving as a written promise from a Borrower to pay a Lender a specified sum of money under agreed-upon terms. Understanding the intricacies of buying and...more

Freiberger Haber LLP

Problems Related to “Short” Return Dates on Notices of Motion for Summary Judgment in Lieu of Complaint Pursuant to CPLR 3213

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CPLR 3213, which is a procedural device permitting a plaintiff, under certain circumstances, to obtain summary relief at the very beginning of a lawsuit, provides, in pertinent part: When an action is based upon an...more

McGlinchey Stafford

Litigation Byte (July Edition)

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The Litigation Byte is the new name and format for McGlinchey’s Commercial Law Bulletin. Our new format reflects McGlinchey’s national coverage and our expanded footprint while still serving up the digestible, insightful...more

Fox Rothschild LLP

Partnership Interest Sale Inventory Gain is Not U.S. Source Income

Fox Rothschild LLP on

On July 23, 2024, the U.S. Court of Appeals for the D.C. Circuit reversed the U.S. Tax Court in holding that inventory gain recognized by a nonresident alien individual partner on the sale of her interest in a U.S....more

BCLP

HK Court Overrules Arbitrator’s Decision in Jurisdictional Challenge

BCLP on

In AAA, BBB, CCC v DDD (HCCT 39/2023) [2024] HKCFI 513 (date of decision: 16 February 2024), the Hong Kong Court of First Instance (“the Court”) provides much welcomed guidance on the situation where there is a group of...more

Rivkin Radler LLP

Partnership Transactions Lacking Economic Substance or Business Purpose: Investor Beware

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Assume that X and Y agree to the following: X will transfer ownership of Prop to Y, and Y will transfer cash to X. What just happened? Obviously, X has sold Prop to Y. If the amount of cash that X receives is greater than...more

Allen Matkins

Is There A California Connection To Kirschner?

Allen Matkins on

Last summer, bankers and the lawyers who advise them breathed a collective sigh of relief when the Second Circuit Court of Appeals  upheld a U.S. District Court's opinion that notes in a bank syndicated loan were not...more

Holland & Knight LLP

What to Consider When Buying Real Estate Promissory Notes

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Recent headlines have revealed distress in the real estate market, which may lead to opportunities for investors willing to take a bit of risk. There are many examples all over the country of groups with debt looking for...more

Adams and Reese LLP

Lenders: Keep Your Original Promissory Notes Safe; Loan Purchaser Fails to Recover on Note Claims in Florida Decision

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A recent opinion out of the Florida Fifth District Court of Appeal makes clear that the failure of a lender or its successor in interest to introduce and authenticate original promissory notes at trial may result in the...more

Foley & Lardner LLP

Changes to General Obligation Notes Borrowing in Wisconsin: Benefits to Municipalities

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Municipalities issuing general obligation promissory notes under section 67.12 (12) of the Wisconsin Statutes may now take advantage of a statutory maximum maturity date of 20 years. 2023 Wisconsin Act 128 (the “Act”) took...more

Freiberger Haber LLP

The Assignment Of Litigation Rights And Champerty

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It is not often that we examine a case involving the doctrine of champerty. The last time we did so was on March 8, 2023 (here). We also examined the champerty doctrine in 2021 (here), 2020 (here), and 2016 (here)....more

Morrison & Foerster LLP

Scrivener’s Error in Guaranty Reformed Outside of Statute of Limitations and Held Enforceable

In an appeal heard by the Appellate Division of the Supreme Court in the First Judicial Department of New York, the Court recently ruled that a court may reform a guaranty after the statute of limitations for a reformation of...more

Pierce Atwood LLP

Maine Law Court Provides Guidance Regarding Classification of Loans

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In Franklin Savings Bank v. Bordick, issued on February 29, 2024, the Law Court reversed a decision of the Business and Consumer Docket (BCD) and remanded a personal property recovery judgment for further analysis regarding...more

Freiberger Haber LLP

First Department Reminds Practitioners that “proofreading is an essential, indispensable tool in the drafting of contracts”

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It should go without saying that people make mistakes. After all, people are human, and humans make mistakes. When people draft a document, especially a lengthy or complex one, it is not uncommon for a mistake to be...more

Spilman Thomas & Battle, PLLC

Promissory Notes - Banking & Finance Insights: V 4, Issue 2, March 2024

Volume 4, Issue 2, 2024 Welcome! Welcome to the second issue of Promissory Notes - our banking and finance e-newsletter - for 2024. Business today is characterized by relentless change. To assist our clients in navigating...more

Stikeman Elliott LLP

Pleading Breaches of Fiduciary Duties in Class Proceedings: Court of Appeal Keeps the Bar Low in Ontario

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In Boal v International Capital Management Inc.(“Boal”), the Ontario Court of Appeal (the “Court”) considered the pleading requirements for certification of a breach of fiduciary duty cause of action. In holding that it was...more

McGlinchey Stafford

Am I Entitled to a Bonus? - McGlinchey Commercial Law Bulletin - February 16, 2024

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Ohio- Enforceability of Arbitration Agreement- Bryan Costin v. Midwest Vision Partners LLC., 8th Dist. Cuyahoga No. 112651, 2024-Ohio-463. The Eighth District Court of Appeals recently affirmed the trial court’s ruling...more

Sherman & Howard L.L.C.

Polar Bear Sightings in Death Valley: A Nevada Court Departs from Established Understanding of Conversion Rights Under a...

The common understanding of the right to convert debt to equity under a convertible promissory note has shifted following a Nevada county court ruling in Toptal v. Grosz. In the court’s motion granting partial summary...more

Allen Matkins

Judge Rules That "Repaying Matured Debt Is Not A Breach" - So Why Is This Case Interesting?

Allen Matkins on

Typically, one would expect a lender to argue that a borrower was in breach for failing to repay a note on or after its maturity date.  However, a friend recently alerted me to a case in which the lender argued that the...more

Freiberger Haber LLP

Fraud Claim Held Not Duplicative of a Single Page Contract

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A common theme in commercial litigation is the assertion of a breach of contract claim and a fraudulent inducement claim. A plaintiff claiming a breach of contract must show (1) the existence of a contract; (2) the...more

Freiberger Haber LLP

Settlement Agreement Found To Be an Instrument for The Payment of Money Only Sufficient to Grant Summary Judgment In Lieu of...

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In past articles, we have examined a motion under CPLR § 3213... CPLR § 3213 is a procedural mechanism that allows a party to make a motion for summary judgment before filing a complaint in actions based upon “an instrument...more

Patton Sullivan Brodehl LLP

Guarantor Liability: Assignment of Note Doesn’t Automatically Assign Guaranty Too

Obligations reduced to a promissory note are often accompanied by a written guaranty. The law treats the guaranty as an independent obligation. A case recently decided by California’s First District Court of Appeal —...more

Freiberger Haber LLP

Group Pleading, Failure to Plead Fraud with Particularity and Duplication: A Dismissal Trifecta

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As we have often explained in the articles in which we have examined fraud claims, to withstand a motion to dismiss, the plaintiff must plead fraud with particularity as required under CPLR § 3106(b), cannot lump all the...more

Sullivan & Worcester

Sullivan & Worcester Advises Arqit on Documentary Framework to Support the Issue of Electronic Promissory Notes under the...

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London, UK - Sullivan & Worcester (Sullivan) is advising Arqit Limited (Arqit), a leader in quantum-safe encryption, in relation to its documentary framework to support the creation, issue and storage of electronic promissory...more

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