Artibration.

A party moving to compel arbitration, pursuant to CPLR 7503, has the burden of establishing the existence of a valid agreement.

Lisi v. Nw York Ctr. for Rehabilitation & Nursing, 01171 (2d Dep't March 6, 2024)

Here is the decision.

Guarantors' liability.

An unconditional guarantor cannot allege a mutual mistake defense regarding the underlying contracts.

Valley Natl. Bank v. TDS Cab Corp., NY Slip Op 01264 (1st Dep't March 7, 2024)

Here is the decision.

Motions to disniss.

A motion to dismiss on the ground that the action is barred by documentary evidence, pursuant to CPLR 3211(a)(1), may be granted only where the documentary evidence utterly refutes the plaintiff's factual allegations, conclusively establishing, as a matter of law, a defense to the action.

Cunningham v. Cunningham, NY Slip Op 01168 (2d Dep't March 6, 2024)

Here is the decision.

Summary judgment on a guaranty.

Plaintiff demonstrated entitlement to its unopposed motion for summary judgment as to liability on its claim for amounts due under defendant's guaranty by establishing the existence of an absolute and unconditional guaranty, the underlying debt, and the guarantor's failure to perform under the guaranty.

3 E. 54th N.Y. LLC v. Chatiris, NY Slip Op 01244 (1st Dep't March 7, 2024)

Here is the decision.

Service of process.

Pursuant to CPLR 317, a party that was not personally served may defend against an action if it demonstrates that it did not have notice of the action and that it has a meritorious defense. Service upon a corporation through delivery of the summons and complaint to the Secretary of State is not personal delivery to the corporation.

Borohov v. Queens Fresh Meadows, LLC, NY Slip Op 01167 (2d Dep't March 6, 2024)

Here is the decision.

Usury laws.

General Obligations Law § 5-501(2) provides that "[n]o person or corporation shall, directly or indirectly, charge, take or receive any money, goods or things in action as interest on the loan or forbearance of any money, goods or things in action at a rate exceeding the [maximum permissible interest] rate." Under General Obligations Law § 5-521(1), the defense of usury is not available to corporations, but this bar does not preclude a corporate borrower from raising the defense of criminal usury, that is, interest over 25%, in a civil action. However, civil and criminal usury laws do not apply to any loan or forbearance in the amount of $2,500,000 or more, pursuant to General Obligations Law § 5-501[6][b].

Alleon Capital Partners v. Choudhry, NY Slip Op 01165 (2d Dep't March 6, 2024)

Here is the decision.

Summary judgment on a personal guaranty.

In order to obtain summary judgment on a personal guaranty, a plaintiff must show an absolute and unconditional guaranty, the underlying debt, and the guarantor's failure to perform under the guaranty.

Consorcia Mgt., LLC v. Mushahwar, NY Slip Op 01156 (1st Dep't March 5, 2024)

Here is the decision.

Contract law.

A claim for reformation of a contract, including reformation based on a scrivener's error, is governed by the six-year statute of limitations, which begins to run on the date that the mistake is made, pursuant to CPLR 213[6].

NCCMI, Inc. v. Bersin Props., LLC, NY Slip Op 01161 (1st Dep't March 5, 2024)

Here is the decision.

Penal statutes and private causes of action.

A private cause of action may be implied from a penal statute only where the plaintiff is one of the class for whose particular benefit the statute was enacted. Here, the claim based on an alleged violation of the reckless endangerment statute is dismissed because the statute was enacted for the benefit of the general public, not for the particular benefit of a class to which the plaintiff belongs.

Alfonso v. Trucar Leasing Corp., NY Slip Op 01154 (1st Dep't March 5, 2024)

Here is the decision.

New York's choice of law rules.

Under New York's choice of law rules, malicious prosecution claims are governed by the law of the state where the underlying proceeding took place. Here, the arbitration that gave rise to plaintiffs' malicious prosecution claim was held in California. Therefore, the court properly applied California law, which bars plaintiffs' malicious prosecution claim because the claim arises from a contractually agreed upon arbitration.

Zeetogroup, LLC v. Baker Hostetler, LLP,  Slip Op 00992 (1st Dep't February 27, 2024)

Here is the decision.

Personal jurisdiction.

An action may be dismissed for lack of personal jurisdiction, pursuant to CPLR 3211[a][8]. The affirmative defense of lack of personal jurisdiction is waived if it is not raised in the answer or a pre-answer motion to dismiss, pursuant to CPLR 3211[e]. However, the defense is not waived if the defendant corrects the omission before the expiration of the time to amend the answer without leave of court. 

Manfredo v. 100-106 LLC, NY Slip Op 01115 (1st Dep't February 29, 2024)

Here is the decision.