Justia New York Court of Appeals Opinion Summaries

This case involved a dispute over property that was sold by the City to the sponsor of an urban renewal project. The agreement between the City and the sponsor, called a Land Distribution Agreement, contained provisions designed to assure that, for at least 25 years, the land would be used for a Pathmark supermarket. At issue was whether Pathmark breached the Lease Assignment Contract, thus, giving plaintiff a right to terminate it. The court interpreted the contract to assign a lease of real property, and held that the risk that the City might not permit the assignment was one that the buyer agreed to take. That risk did not give the buyer an excuse for terminating the contract. View "CPS Operating Co. LLC v Pathmark Stores, Inc." on Justia Law

Plaintiffs executed a general agreement with defendant regarding management of their real estate business which contained a general release. At issue was whether the appellate court erred in dismissing plaintiffs' fraud cause of action. The court held that plaintiffs have failed to allege that the release was induced by separate fraud and failed to allege that they justifiably relied on defendant's fraudulent misstatements in executing the release. The court also held that plaintiffs, by their own admission, who were sophisticated parties, had ample indication prior to June 2005 that defendant was not trustworthy, yet they elected to release him from the very claims they now bring without investigating the extent of his alleged misconduct. Accordingly, dismissal of plaintiffs' fraud cause of action was therefore appropriate. View "Arfa, et al. v. Zamir, et al." on Justia Law