On October 6, 2023, Justice Reed of the New York County Commercial Division issued a decision in Arena Special Opportunities Fund, LLC v. McDermott, 2023 NY Slip Op. 51052(U), dismissing an action for lack of personal jurisdiction based on, among other things, the plaintiff’s failure adequately to document defendant’s counsel acceptance of service, explaining:
Plaintiffs also argue that defendants’ counsel accepted service of Arena’s motion papers on behalf of her client. However, plaintiffs admit that a formal stipulation to this effect was never executed. In addition, plaintiffs’ documents which purport to demonstrate that defendants’ counsel accepted service on behalf of her clients only show that plaintiffs sent the papers to McDermott’s counsel for good hygiene. Plaintiffs’ documents do not in any manner demonstrate or confirm defendant’s counsel’s acceptance of the service, recognition that the papers were received, or expression that said counsel was authorized by her client to accept service on his behalf. In other words, although it is well established that counsel can accept service on behalf of her client, here, plaintiffs have failed to prove that such acceptance actually occurred.
Since plaintiffs failed to properly serve McDermott, this court cannot exercise personal jurisdiction over him, and must therefore dismiss plaintiffs’ motion for summary judgment in lieu of complaint.
(Internal citations omitted).