Statutory Contribution Unavailable for Contract Claim

On August 13, 2025, the Second Department issued a decision in Town of Oyster Bay v. Peter Scalamandre & Sons, Inc., 2025 NY Slip Op. 04679, holding that statutory contribution is unavailable for a contract claim, explaining:

Under the economic loss doctrine, contribution under CPLR 1401 is not available where the damages sought are exclusively for breach of contract. The existence of some form of tort liability is a prerequisite to application of CPLR 1401. Here, where the Town seeks damages for purely economic loss pursuant to an alleged breach of contract, the Supreme Court properly granted that branch of UrbanTech’s motion which was pursuant to CPLR 3211(a) to dismiss the second cause of action, for contribution, in the third third-party complaint insofar as asserted against it and that branch of Midsize’s separate motion which was pursuant to CPLR 3211(a) to dismiss the seventh cause of action, for contribution, in the third third-party complaint insofar as asserted against it.

(Internal quotations and citations omitted).

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