On November 18, 2025, the First Department issued a decision in Sire Spirits, LLC v. Beam Suntory, Inc., 2025 NY Slip Op. 06297, holding that a plaintiff could not claim lost profits in connection with a fraud claim, explaining:
Plaintiffs’ proposed amendment to the prayer for relief in its pleading, which sought recovery based on profits not realized as a result of the alleged fraud, violated the out-of-pocket damages rule. Accordingly, the proposed amendment was palpably insufficient, and the court properly denied it.
(Internal citations omitted).