On May 23, 2022, Justice Ruchelsman of the Kings County Commercial Division issued a decision in F&R Goldfish Corp. v. Furleiter, 2022 NY Slip Op. 31779(U), holding that the failure to pay rent could not be the basis for a conversion claim, explaining:
It is well settled that to establish a claim for conversion the party must show the legal right to an identifiable item or items and that the other party has exercised unauthorized control and ownership over the items. As the Court of Appeals explained a conversion takes place when someone, intentionally and without authority assumes or exercises control aver personal property belonging to someone else, interfering with that person’ s right of possession. Two key elements of conversion are (1) plaintiff’s possessory right or interest in the property and (2) defendant’s dominion over the property or interference with it, in derogation of plaintiff’s rights. Therefore, where a defendant interfered with plaintiff’s right to possess the property a conversion has occurred. Thus, the mere failure to pay rent, if true, does riot raise· any questions of fact the third party defendants committed any conversion.
(Internal quotations and citations omitted).