Did the Board Have Authority to Impose Sanctions? We often see decisions invoking and applying the “business judgment rule” to the Board of Directors of a residential cooperative or the Board of Managers of a residential condominium. But, as a recent case illustrates, that rule also applies to the BOD of a homeowner’s association. Alan Ives and his wife are homeowners and members of Fieldpoint Community Association, Inc.  Fieldpoint is a master homeowners’ association that manages and controls the members’ use of common areas, as well as the exteriors of the members’ units and lots. In 2014, the Ives installed… Read more

Did Police Officers Have Probable Cause? A certain amount of rowdiness is expected and is accepted when the Rangers face off against the Bruins at Madison Square Garden.  But what happens when a Billy Joel concert-goer gets into a fight? Ari Ganeles claimed that he sustained injuries when he was allegedly assaulted by fellow concert-goers and off-duty New York Police Department (NYPD) Officers– Joseph Brennan, Kevin Ermann, Lerone Davis, and their respective dates– during a Billy Joel concert at Madison Square Garden (MSG). And sued for intentional infliction of emotional distress, false arrest, and malicious prosecution as a result of… Read more

Court Considers the Trifecta of Standard Challenges Objections “101″ to the probate of a will would introduce the three most common grounds: lack of due execution (the will was not properly signed); lack of testamentary capacity (the decedent did not know what s/he was doing); and undue influence (a trust or confidence was exploited), But, as a recent case illustrates, objections are easier said than done. In a contested probate proceeding, Joy M. Hood moved for an order: granting summary judgment dismissing the objections of Joseph W. Peckelis and admitting the will of Albert J. Peckelis to probate. Joseph opposed… Read more

Did Son [Im]properly Divest Father of Interests in LLCs? Battles between fathers and sons are found in Greek mythology (Zeus and Cronus). And, as a recent case illustrates, continue to this day in a somewhat different manner. Jacob Harounian owned and operated a rug business called J. Harounian Oriental Rug Center. Jacob eventually asked his son, Mark Harounian, to help him run JHORC. Jacob thereafter gave Mark a 40% ownership interest in JHORC. In addition, Jacob formed a partnership with Mark and Mark’s two sisters called JAM Realty Co. to take title to a property located on 25th Street in… Read more

Was Tenant Permitted to Operate Unlicensed Cabaret? Use clauses in commercial leases are intended to unambiguously define and delineate the business purposes contemplated for the space. But, as a recent case illustrates, the landlord and tenant may disagree on whether or not the actual use is permitted. 39-50 24th St. Realty Corp, as landlord, and Ol’ Bridge Cafe Inc., as tenant, entered into a commercial lease agreement for 39-48/50 24th Street, Ground Floor Store, Long Island City, for a term of five (5) years commencing February 1, 2016. The premises was to be utilized as a restaurant. Pursuant to the… Read more

Was the Agreement Sufficient to Satisfy the Statute of Frauds? Members of different families often combine forces and funds to purchase real estate together. When differences arise, they sometimes resolve those disputes with a settlement agreement that seems effective at the time—but is later subject to challenge. And, as a recent case illustrates, a “signed and sealed” settlement agreement intended to resolve inter-family disputes may not be enforceable when subject to judicial scrutiny. Shlomo Ehrenreich and his father allegedly partnered with Joel Israel, Amrom Israel, and Michael Israel in various real estate ventures over a period of several years and… Read more

But Who Is Bound And Is Dispute Arbitrable? Many commercial agreements contain what appears to be an unambiguous clause mandating the arbitration of all disputes. But, as a recent case illustrates, a Court nevertheless may be called upon to determine who is bound to arbitrate and what issues are covered by that mandate. On September 1, 2016, Bromberg & Liebowitz entered into an agreement with Pat O’Brien to purchase her accounting practice. The agreement provided that Pat O’Brien would provide consulting services to the practice during a transition period and that Jennifer O’Brien would work for the practice for at… Read more

Can a TIC Oust Other TICs With the Passage of Time? Scene set: Family members jointly own, as tenants-in-common, a residential property. Over time their respective interests pass to their descendants by deed or operation of law. But one of the family members allegedly occupied the property for more than ten years to the exclusion of her kinfolk. Did the successor to the sole occupier of the home obtain title by his predecessor’s adverse possession? The 169 MLS Realty Corporation sued, among others, One 69 Skill Corporation seeking a judgment declaring that MLS was a tenant in common to an… Read more

Customer Assaulted in Spontaneous Imbroglio In a supermarket on a Sunday afternoon, a shopper is hit in the face by a can of food thrown in the course of a sudden dispute between two other customers. Was the store liable to the innocent victim for negligence in failing to thwart the altercation? Lydia Arroyo claimed that, while shopping at an International Compare Food International store, she was struck in the face by a can thrown by Johan Gonzalez, a customer in the store. The store’s negligence allegedly caused her to sustain serious injuries. International moved for summary judgment dismissing Arroyo’s… Read more

Who Was At Fault Where Both Violated the Law? A large part of our tort liability jurisprudence addresses the threshold question of “fault”. But, as a recent automobile collision case illustrates, the “fickle finger of fault” may point in both directions. Two cars collided in the westbound right lane of Montauk Highway in Copaigue, New York. Just prior to the accident, Diana Lopez was exiting a parking lot with her vehicle half on the apron and half in the right lane in order to cross over Montauk Highway and make a left turn. Christopher Ceravino was traveling westbound on Montauk… Read more