In order to establish prima facie entitlement to summary judgment in lieu of a complaint, a plaintiff must show that the defendant executed a promissory note that contained an unequivocal and unconditional obligation to repay, and that the defendant failed to repay in accordance with the note's terms. Here, the note stated that defendant unconditionally promised to pay plaintiff by the maturity date in exchange for the loan, and it is undisputed that defendant defaulted. Even if the note and the parties' investment were part of the same general transaction, the fact that the investment was not profitable is not a defense to the note, nor were the note and the investment so intertwined as to warrant a stay of judgment on the note. The note was part of an arms-length investment transaction between sophisticated, counseled parties, and the language obligated the defendant in his personal capacity. The fact that the note was secured by a membership interest in a business owned by defendant does not alter its essential character as an instrument for the payment of money only, and, accordingly, is immaterial to plaintiff's right to relief pursuant to CPLR 3213.
Jimmel Yang v. Shang Dai, NY Slip Op 02125 (1st Dep't April 6, 2021)
