Negligent Misrepresentation Claim Fails When Alleged Special Relationship Arises as Part of Transaction in Which Misrepresentation Was Made
Commercial Case Notes / Fraud/Misrepresentation

Negligent Misrepresentation Claim Fails When Alleged Special Relationship Arises as Part of Transaction in Which Misrepresentation Was Made

On December 8, 2022, the First Department issued a decision in 100 & 130 Biscayne, LLC v. EE NWT OM, LLC, 2022 NY Slip Op. 06985, holding that the special relationship upon which a negligent misrepresentation claim is based must exist before the alleged misrepresentation is made . . . Continue reading Negligent Misrepresentation Claim Fails When Alleged Special Relationship Arises as Part of Transaction in Which Misrepresentation Was Made

Negligent Misrepresentation Claim Fails for Lack of Special Relationship
Commercial Case Notes / Fraud/Misrepresentation

Negligent Misrepresentation Claim Fails for Lack of Special Relationship

On October 17, 2022, Justice Cohen of the New York County Commercial Division issued a decision in G-Z/10 UNP Realty, LLC v. SLCE Architects, LLP, 2022 NY Slip Op. 33538(U), dismissing a negligent misrepresentation claim for failure to allege a special relationship between the parties . . . Continue reading Negligent Misrepresentation Claim Fails for Lack of Special Relationship

Plaintiff Can Assert Both Contract and Fraud Claims When Fraud Claim is Based on Misrepresentations Collateral to the Contract
Commercial Case Notes / Fraud/Misrepresentation

Plaintiff Can Assert Both Contract and Fraud Claims When Fraud Claim is Based on Misrepresentations Collateral to the Contract

On October 19, 2022, the Second Department issued a decision in Transcan Sys., Inc. v. Seldat Distrib., Inc., 2022 NY Slip Op. 05881, holding that a plaintiff can assert both contract and fraud claims when the fraud claim is based on misrepresentations that are collateral to the contract . . . Continue reading Plaintiff Can Assert Both Contract and Fraud Claims When Fraud Claim is Based on Misrepresentations Collateral to the Contract

Condo Offering Plan Disclaimers Unenforceable With Respect to Facts Only Within Sponsor’s Knowledge
Commercial Case Notes / Fraud/Misrepresentation / Real Property

Condo Offering Plan Disclaimers Unenforceable With Respect to Facts Only Within Sponsor’s Knowledge

On September 29, 2022, Justice Chan of the New York County Commercial Division issued a decision in Board of Mgrs. of 87-89 Leonard St. Condominium v. Leonard St. Owner, LLC, 2022 NY Slip Op. 33275(U), holding that condo offering plan disclaimers are not enforceable with respect to facts only within the sponsor’s knowledge . . . Continue reading Condo Offering Plan Disclaimers Unenforceable With Respect to Facts Only Within Sponsor’s Knowledge

Fraud Claim Cannot be Based on Misrepresentations Not Made to Plaintiff
Commercial Case Notes / Fraud/Misrepresentation

Fraud Claim Cannot be Based on Misrepresentations Not Made to Plaintiff

On September 29, 2022, Justice Boddie of the Kings County Commercial Division issued a decision in Harel Alternative Real Estate L.P. v. All Brooklyn Mgt. LLC, 2022 NY Slip Op. 50959(U), holding that a fraud claim cannot be based on misrepresentations that were not made to the plaintiff . . . Continue reading Fraud Claim Cannot be Based on Misrepresentations Not Made to Plaintiff

Fraudulent Inducement Claims Upheld Because They Related to Misrepresentations of Present Fact Made Before a Contract Was Agreed To
Commercial Case Notes / Fraud/Misrepresentation

Fraudulent Inducement Claims Upheld Because They Related to Misrepresentations of Present Fact Made Before a Contract Was Agreed To

On August 25, 2022, Justice Ruchelsman of the Kings County Commercial Division issued a decision in Vashovsky v. Zablocki, 2022 NY Slip Op. 32925(U), refusing to dismiss fraudulent inducement claims based on misrepresentations of present fact made before a contract was entered into . . . Continue reading Fraudulent Inducement Claims Upheld Because They Related to Misrepresentations of Present Fact Made Before a Contract Was Agreed To