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, explaining:
To state a claim for fraudulent misrepresentation the plaintiff must establish a misrepresentation of fact that was false when made for the purpose of inducing another to rely upon it and they justifiably relied upon it to their detriment. Thus, the misrepresentation must concern a present fact, not a future promise. Therefore, misrepresentations made before the formation of a contract which induce a party to enter into the contract can support claims for fraudulent misrepresentation. The second amended verified complaint asserts that Zablocki represented to Plaintiff that he had experience successfully running hotels and investment properties and turning a profit and that Zablocki further represented that he had relationships with businesses who book hotels for clients needing facilities, including, rooms and banquet halls for large groups, and he had the ability to run HVR. These representations specifically relate to allegations they induced the plaintiff to enter into a partnership in the first place.
(Internal quotations and citations omitted).
They are thus distinct from allegations related to the fraudulent performance of the contract once the partnership had already been formed. This allegation is not a reiteration of the previously barred fraud claims. Therefore, the motion seeking to dismiss the thirteenth count is denied.