February 13, 2013

Attorney deceit.

Practice point: Plaintiff alleged that, in plaintiff's divorce action, defendant submitted to the court a document with a page intentionally switched to conceal the unreliability of certain projections relating to a start-up company, founded by plaintiff, in which he and his former wife held a minority interest. This single alleged act of deceit was not sufficiently egregious to support a claim under Judiciary Law § 487(1).

Student note: In addition, plaintiff failed to allege damages resulting from the switching of the page. He claims that he had to settle with his former wife to avoid expensive and potentially protracted litigation as to the value of the allegedly worthless stock. However, the complaint alleges that the dispute over the value of the stock arose when defendants retained a second appraiser, who was given a correct copy of the document and attributed substantial value to the stock. Therefore, plaintiff did not allege that the settlement he entered into with his former wife was the proximate result of defendant's alleged deceit.

Case: Strumwasser v. Zeiderman, NY Slip Op 00556 (1st Dept. 2013).

Here is the decision.

Tomorrow's issue: Workers' Compensation Law.