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Commercial Division Court Issues a Decision Extending Time for Service and Permitting Alternative Service Methods to Foreign...

On July 17, 2023, Justice Reed of the New York County Commercial Division issued a decision extending the time for service and permitting the Plaintiff in Zantaz Enter. Archive Solution, LLC v. Adecco IT Servs., Inc., Index...more

Recent Commercial Division Decision Explores Interactions Between New York’s Amended Anti-SLAPP Law and Breach of Contract Claims

On June 9, 2023, Justice Robert Reed of the New York State Court, Commercial Division, issued a decision in Trump v. Trump, 192 N.Y.S.3d 891 (Sup. Ct. N.Y. Cnty. June 9, 2023). This decision largely denied Mary Trump’s motion...more

Recent Commercial Division Decision Provides Examples of Both Common and Uncommon Discovery Issues

On April 28, 2023, Justice Reed of the New York County Commercial Division issued decisions on motions to bifurcate proceedings, compel discovery, and impose sanctions in ASM Capital, LP v. Four Wood Capital Partners, LLC,...more

Commercial Division Reaffirms that a Party May Waive Right to Arbitration Through Conduct

How long and to what extent can a party litigate in court before claiming that the dispute needs to be arbitrated? That issue has come up with some frequency in state and federal courts throughout the country....more

CDx Diagnostics, Inc. v Rutenberg

On October 12, 2022, the Commercial Division for New York County issued a decision in a consolidated series of motion sequences in CDx Diagnostics, Inc. v. Rutenberg, 2022 BL 479595 (N.Y. Sup. Ct. Oct. 12, 2022). The decision...more

Commercial Division Finds Alleged Obligations Under Term Sheet Constitute Unenforceable Agreement to Agree

As we have written about previously, the Commercial Division has held that certain types of preliminary agreements between parties constitute unenforceable “agreements to agree” under New York law. To avoid this fate, a...more

Commercial Division Allows Promissory Estoppel to Proceed After Dismissing Contract Claim; Limits Scope of Out-of-State...

Does an “agreement to agree” establish an enforceable contract?  Not if it fails to provide objective criteria for a court to enforce material terms, according to the Albany County Commercial Division’s decision in Media...more

Commercial Division Decision Provides Example of a Pre-Answer Motion to Dismiss Based on Documentary Evidence

On October 11, 2022, the Commercial Division Justice for Bronx County, Justice Gomez, issued a decision on a motion to dismiss in Chen v Fox Rehab. Servs., P.C., 175 N.Y.S.3d 713, 2022 NY Slip Op 50986(U) (Sup. Ct. Bronx...more

Updates to Modernize Commercial Division Rule on Motion Papers

On December 16, 2022, Acting Chief Administrative Judge Amaker announced amendments to Commercial Division Rule 16, Motions in General, effective January 3, 2023....more

1/13/2023  /  Commercial Court

Commercial Division Dismisses Securities Class Action Against Pharmaceutical Company Alleging Failure to Disclose Results from...

One of the most significant pieces of legislation to emerge from the New Deal, the Securities Act 1933 (“the 1933 Act”), imposes a disclosure requirement for registration statements and other securities offerings.  The 1933...more

Proposed Amendment to Commercial Division Rule 36 to Clarify Courts’ Authority to Order Virtual Evidentiary Hearings and Bench...

More than two years into the Covid-19 pandemic, the Commercial Division Advisory Council (“CDAC”) has proffered an amendment to the Commercial Division Rules that reinforces a court’s authority to order virtual proceedings...more

Commercial Division Permits COVID-Related Contract Termination Pursuant to “Market Disruption” Clause

The onset of the COVID-19 pandemic in the Spring 2020 brought immense market uncertainty, which in turn placed serious strain on contractual relationships.  Amid that strain, a question on the minds of many commercial parties...more

Commercial Division Rejects Piercing the Corporate Veil and Claims of Fraud and Unjust Enrichment Against the Sole Principal

In Salesmark Ventures, LLC v. Jay Singh, JJHM Trading Corp.,  Justice Joel M. Cohen dismissed, inter alia, the plaintiff’s claim to pierce the corporate veil of the defendant and impose personal liability on the defendant’s...more

Court Clarifies Record Date and Indicates Willingness to Approve Proposed Settlement in Renren Derivative Litigation

In our recent article What Rejected Renren Settlement Means for Investor Suits, we analyzed Justice Andrew Borrok’s decision rejecting a proposed $300 million settlement between Renren, Inc. (“Renren”) and minority...more

The Commercial Division Gets A New Corporate Disclosure Rule (Updated)

Update: As an update to our earlier post on the Commercial Division’s new corporate disclosure rule—Rule 35 of the Rules of Practice for the Commercial Division—the rule is now in effect. As of December 1, 2021, corporate...more

Fraud Claim Dismissed Where Buyer Disclaimed Reliance on Sellers’ Representations

In Arco Acquisitions, LLC v. Tiffany Plaza LLC, Justice Elizabeth Hazlitt Emerson of the Suffolk County Commercial Division granted defendants’ motion to dismiss Arco’s lawsuit, which alleged that defendants committed fraud...more

12/10/2021  /  Commercial Property Owners , Fraud , Rent

New Commercial Division Rule on Virtual Evidentiary Hearings and Trials

On October 19, 2021, Chief Administrative Judge Marks announced the new Commercial Division Rule 36, Virtual Evidentiary Hearing or Non-Jury Trial, effective December 13, 2021....more

The Commercial Division Gets A New Corporate Disclosure Rule

On October 4, 2021, Chief Administrative Judge Lawrence K. Marks promulgated Rule 35 of the Rules of Practice for the Commercial Division to require corporate entities litigating or seeking to intervene in cases to submit...more

New York Supreme Court Addresses New Uniform Rule Regarding Summary Judgment Motions Adapted from Commercial Division Rules

In a recent decision in Amos Fin. LLC v. Crapanzano, et al., the New York Supreme Court, Rockland County, addressed one of the new Uniform Rules that went into effect on February 1, 2021—Uniform Rule 202.8-g(a)....more

Forum Selection Clauses: Commercial Division Issues Reminder That Choice of Venue Must Be Designated with Specificity

Forum selection clauses are a common feature of commercial arrangements, allowing contracting parties to opt out of default procedural rules and determine ex ante which state will have jurisdiction over any future dispute...more

Royalty Agreement Does Not Entitle Bob Dylan’s Co-Songwriter Share Proceeds of Dylan Catalog Sale

Does an assignment by a co-songwriter of that co-songwriter’s rights in exchange for a performance and use royalty entitle the co-songwriter to a share of the sale proceeds when the rights are later sold by the other...more

Commercial Division Decision Suggests Insurers May Struggle to Enforce Anti-Assignment Clauses in Prior-Incurred Loss Cases

In Certain Underwriters at Lloyd’s v. AT&T Corp.,[1] Justice Cohen of the New York County Commercial Division Court granted a motion for partial summary judgment and determined that Nokia, through its predecessor Lucent, had...more

Commercial Division Grants Order for Prejudgment Attachment Where Defendants’ Post-Litigation Transfer of Assets Could Frustrate a...

In In re Renren, Inc. Derivative Litigation, Justice Andrew Borrok of the New York County Commercial Division granted Plaintiffs’ order to show cause for prejudgment attachment against certain assets of defendants Oak Pacific...more

Split First Department Panel Re-examines the Continuing Wrong Doctrine

If a party hires an investment advisor that goes on to allegedly systematically abuse its role by engaging in self-dealing in violation of its contractual obligations and fiduciary duties, when does the applicable statute of...more

Does the COVID-19 Pandemic and Subsequent Emergency Actions by the Governor Make a Commercial Lease Voidable?

In the wake of the COVID-19 pandemic (“COVID”), a common question that arises is whether commercial leases are enforceable when COVID and subsequent governmental responses frustrate the purpose of the lease or render its...more

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