On July 5, 2022, Justice Ruchelsman of the Kings County Commercial Division issued a decision in Signature Fin. LLC v. Endeavor Constr. Group Corp., 2022 NY Slip Op. 32122(U), holding that a business’s failure to update its address with the Secretary of State does not excuse its failure to appear or justify vacating a default judgment, explaining:
There is really no dispute that the failure to update the address of the corporation with the secretary of state is a breach of responsibility and does not create a reasonable excuse for the failure to address the summons. As the court explained in NYCTL 2013-A Trust v. Heights Houses Corp., 172 AD3d 1078, 98 NYS3d 460 [2d Dept., 2019] the defendant’s unexplained failure to update its address for service that is kept on file with the Secretary of State did not constitute a reasonable excuse. The defendant cites to cases which seem to excuse such failure to update the address with the secretary of state. However, upon a careful analysis these cases do not stand for that proposition. Thus, Stein v. A. Matarasso & Co. Inc., 143 AD2d 825, 533 NYS2d 126 [2d Dept 1988] cited by the defendant holds that where the plaintiff was a former ·employee of the defendant and was aware of the correct address then the failure, to update the address with the secretary of state would be grounds to deny relief to vacate any default. Again in H. K. A. Realty Co. v. United Steel and Strip Corp., 88 AD2d 612, 449 NYS2d 1017 [2d Dept 1982] the court excused the failure to notify the secretary of state of an address change where the plaintiff knew the correct address of the defendant. Those cases are exceptions to the general rule that the unexplained failure to notify the secretary of state does not provide the necessary excusable default.
(Internal citations omitted).