Absent complete domination and control over a wholly owned subsidiary, the parent corporation is exempt from liability for torts committed by the subsidiary.
Reyes v. 45 & 47 Wadsworth Ave. Co., LLC, NY Slip Op 06038 (1st Dep't October 30, 2025)
Absent complete domination and control over a wholly owned subsidiary, the parent corporation is exempt from liability for torts committed by the subsidiary.
Reyes v. 45 & 47 Wadsworth Ave. Co., LLC, NY Slip Op 06038 (1st Dep't October 30, 2025)
The courts will disregard the corporate form, or pierce the corporate veil, whenever necessary to prevent fraud or to achieve equity. A plaintiff seeking to pierce the corporate veil must show that (1) the owners exercised complete domination of the corporation in respect to the transaction attacked, and (2) that the domination was used to commit a fraud or wrong against the plaintiff which resulted in plaintiff's injury. The mere claim that a corporation was completely dominated by its owners or conclusory claims that a corporation was the owners' alter ego do not merit the equitable relief of piercing the corporate veil. The court will consider factors such as whether there was a failure to adhere to corporate formalities, the lack of capitalization, co-mingling of assets, and the personal use of corporate funds.
Anderson v. ML Real Estate Holdings, LLC, NY Slip Op 05931 (2d Dep't October 29, 2025)
Where the contract expressly disclaims any warranties or representations, a cause of action alleging breach based on a warranty or representation does not lie.
4 Colonial Dr., LLC v. Suburban Consultants, Ltd., NY Slip Op 05930 (2d Dep't October 29, 2025)
A default judgment cannot exceed in amount or differ in the kind of relief from what is demanded in the complaint. The judgment is vacated and the matter remitted to the Supreme Court for entry of an amended judgment limiting the award to the amount originally demanded in the complaint.
Deutsch v. Levy, NY Slip Op 05790 (2d Dep't October 22, 2025)
A party seeking to compel arbitration must establish that there is a valid agreement to arbitrate. General Business Law § 399-c voids arbitration clauses in a written contract for the sale of consumer goods to which a consumer is a party.
Chrzan v. Malinowski, NY Slip Op 05788 (2d Dep't October 22, 2025)
Rescission is an equitable remedy, and a claim for rescission may be asserted only against a party to the contract.
Will B. Sandler Disclaimer Trust v. Swersky, NY Slip Op 05909 (1st Dep't October 23, 2025)
Defendant's motion for renewal is denied as untimely, since it was filed after the time to appeal from the judgment had passed.
Wilmington Sav. Fund Socy. FSB v. Scaffidi, NY Slip Op 05910 (1st Dep't October 23, 2025)
A party may amend its pleading at any time by leave of court or by stipulation of all parties, pursuant to CPLR 3025[b]. Whether to grant leave to amend is within the trial court's discretion. Leave to amend a pleading should be granted where the amendment is neither palpably insufficient nor patently devoid of merit, and the delay in seeking amendment does not prejudice or surprise the opposing party. The burden of demonstrating prejudice or surprise, or that a proposed amendment is palpably insufficient or patently devoid of merit, falls upon the party opposing the motion. No evidentiary showing of merit is required under CPLR 3025(b).
Deutsche Bank Natl. Trust Co. v. David, NY Slip Op 05791 (2d Dep't October 22, 2025)
A written order must conform strictly to the court's decision, and in the event of an inconsistency, the decision controls. An inconsistency may be corrected either by way of a motion for resettlement or on appeal, pursuant to CPLR 2221 and 5019[a].
American Tr. Ins. Co. v. Hackensack Surgery Ctr., LLC, NY Slip Op 05787 (2d Dep't October 22, 2025)
A conditional order of preclusion requires a party to provide discovery by a date certain, or face the sanctions specified in the order. The court will not inquire as to whether the failure to cooperate had been willful. Failure to comply with the order makes it absolute.
Alston v. New York City Tr. Auth., NY Slip Op 05786 (2d Dep't October 22, 2025)
An appellate court's resolution of an issue on a prior appeal constitutes the law of the case and is binding on the Supreme Court, as well as on the appellate court.
Congregation Erech Shai Bais Yosef, Inc. v. Werzberger, NY Slip Op 05666 (2d Dep't October 15, 2025)