February 4, 2014

The statutory pleading requirement for fraud.

Practice point:  CPLR 3016(b) requires that where a cause of action is based upon misrepresentation, fraud, mistake, willful deceit, breach of trust, or undue influence, the circumstances constituting the wrong shall be stated in detail. This pleading requirement does not rise to the level of unassailable proof, and may be met when the facts are sufficient to permit a reasonable inference of the conduct alleged.

Student note: The elements of a claim sounding in fraud are a false representation of fact, made with knowledge of the falsity and in order to induce reliance, and on which there was justifiable reliance resulting in injury.

Case: Crescentini v. Slate Hill Biomass Energy, LLC, NY Slip Op 00475 (2d Dept. 2014).

Here is the decision.

Tomorrow's issue: A late notice of claim.