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Oral Agreements and Contract Formation
By: Jeffrey M. Haber It should go without saying that a plaintiff claiming breach of contract should demonstrate that the parties formed a contract that has been breached. In fact, as discussed below, contract formation is the first element of a breach of contract claim. Typically, when there is a written agreement, issues of contract formation do not arise. Instead, the issue often arises in the context of an oral agreement, the exchange of emails, letters of intent, and te
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Nov 28, 20226 min read
Reliance on Counsel Found to Waive Attorney-Client Privilege
By: Jeffrey M. Haber “The attorney-client privilege shields from disclosure any confidential communications between an attorney and his or her client made for the purpose of obtaining or facilitating legal advice in the course of a professional relationship.” 1 The privilege “fosters the open dialogue between lawyer and client that is deemed essential to effective representation.” 2 “It exists to ensure that one seeking legal advice will be able to confide fully and freely
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Nov 23, 20226 min read
Enforcement News: Penny Stocks and the Importance of Registering as a Broker
By: Jeffrey M. Haber As a general matter, a “broker” must register with the SEC in order to transact business on behalf of another person. It is, therefore, unlawful for any person to “effect any transactions in, or to induce or attempt to induce the purchase or sale of, any security” unless that person is registered with the Securities and Exchange Commission (“SEC”). 1 Whether a person is acting as a “broker” is governed by Section 3(a)(4)(A) of the Exchange Act, 15 U.S.C.
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Nov 21, 20223 min read
SECOND DEPARTMENT CALCULATES DEFICIENCY JUDGMENT IN MORTGAGE FORECLOSURE ACTION
By Jonathan H. Freiberger Much has been written in this Blog about mortgage foreclosure actions. In this Blog’s prior article: “Second Department Addresses Issues Regarding Proof of Value of Foreclosed Property for the Purpose of Calculating Deficiency Judgment Under RPAPL 1371” , we discussed deficiency judgments. By way of brief background, loans are generally evidenced by a promissory note. The borrower’s repayment obligations are frequently secured by a mortgage on rea
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Nov 18, 20224 min read
Contractual Indemnification: Cohen v. Trump Organization LLC
By: Jeffrey M. Haber As a general matter, indemnity is defined to encompass a duty to make good on any loss, damage, or liability incurred by another. Therefore, when a person agrees to indemnify another, he or she agrees to hold the other person harmless for some loss or damage. Indemnification “may be based upon an express contract,” though it is “more commonly” implied “based upon the law’s notion of what is fair and proper as between the parties.” 1 Where the right to i
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Nov 16, 20228 min read
First Department Holds That Scaffolding and Sidewalk Shed Installed For Construction Project Could Not Support Mechanic’s Lien Because They Were Not “Permanent Improvements”
By Jonathan H. Freiberger This Blog, in “ The New York Court of Appeals Addresses the Issue of When a Mechanic’s Lien Can Be Placed on a Landlord’s Property By A Contractor Performing Work For A Tenant ,” quoting John P. Kane Co. v. Kinney , 12 Bedell 69 (1903), explained the purpose of a mechanic’s lien as follows: The object and purpose of mechanics’ lien law was to protect a person who, with the consent of the of the owner of real property, enhanced its value by furnishin
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Nov 14, 20223 min read
First Department Holds That Respondent Is Not Entitled To The Recovery Of Professional And Attorney’s Fees When It Successfully Defends An RPAPL 881 Proceeding And A License Is Not Issued To Petiti...
By Jonathan H. Freiberger As discussed in prior Blog articles, property owners sometimes require access to a neighbor’s property to make repairs to their own property. Neighbors can amicably (with legal counsel or not) arrange for the requested access, which, in many cases, will involve a formal written access agreement. Neighbors are not always neighborly, however, and refuse voluntary access. In such cases, the party requiring access can seek court ordered access pursuant
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Nov 4, 20225 min read
Court Finds Performance of an Accounting Within the Scope of the Arbitrator’s Authority
By: Jeffrey M. Haber It is well settled that the scope of judicial review of an arbitration proceeding is very limited. An arbitration award will be confirmed as long as the arbitrator “offer even a barely colorable justification for the outcome reached”. 1 If any plausible basis exists for the arbitrator’s decision, a court will confirm the award. 2 Because of the significant degree of deference afforded to arbitration awards, vacatur will not be obtained when the bases fo
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Nov 2, 20225 min read
Court of Appeals Provides the Contours of the Notice Requirement Under CPLR § 203(f)
By: Jeffrey M. Haber On October 27, 2022, the New York Court of Appeals decided 34-06 73, LLC v. Seneca Ins. Co. , 2022 N.Y. Slip Op. 06029 (2022) (here), a case in which the Court determined the contours of CPLR § 203(f). In a unanimous decision, written by Judge Rivera, the Court held that plaintiffs’ initial complaint, alleging that defendant breached the insurance agreement between the parties, did not give defendant notice of a subsequently alleged reformation claim base
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Oct 31, 202210 min read
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