On September 28, 2023, Justice Boddie of the Kings County Commercial Division issued a decision in Hager v Inner Circle Logistics, Inc., 2023 NY Slip Op. 33395(U), upholding a legal malpractice claim at the pleading stage based on attorneys’ misconduct that injured plaintiff, explaining:
Generally, a plaintiff in an action alleging legal malpractice must prove the attorney’s failure to exercise the ordinary reasonable skill and knowledge commonly possessed by a member of the legal profession proximately caused the plaintiff to suffer damages. . . .
Here, defendants argue, a threshold inquiry in a legal malpractice claim is whether an attorney-client relationship exists. An attorney may be liable for malpractice to a third party only if there is near privity with the third-party. Absent fraud, collusion, malicious acts, or other special circumstances, an attorney is not liable to third parties not in privity or near-privity for harm caused by professional negligence. As defendants aptly acknowledges, citing Gifford v Harley, 62 AD2d 5 [3d Dept 1978], an attorney may be held liable to third parties if he or she has been guilty of fraud or collusion or of a malicious or tortious act.
Plaintiff also agrees and argues, while privity of contract is generally necessary to state a cause of action for attorney malpractice, liability is extended to third parties, not in privity, for harm caused by professional negligence in the presence of fraud, collusion, malicious acts or other special circumstances, citing Ginsburg Dev. Cos. v Carbone, 85 AD3d 1110, 1111 [2d Dept
(Internal quotations and citations omitted).
2011]. Further, plaintiff asserts the subject firm and attorneys were aware of the terms of the money deposit and loan and intentionally evaded their obligations, causing plaintiff to suffer damages. Therefore, the court finds neither the malpractice nor prima facie tort claims palpably improper or devoid of merit at this juncture. Moreover, the additional edits in the proposed amended complaint do not appear to be improper. Accordingly, the motion is granted in its entirety.