On January 13, 2023, the New York State Commercial Division issued a decision in Bangladesh Bank v. Rizal Commercial Banking Corp., et al., Index No. 652051/2020, that continued New York courts’ tendency to assert personal jurisdiction over foreign banks, even if their only relationship with New York is having correspondent bank accounts. …
Continue Reading New York Courts Continue to Assert Personal Jurisdiction over Foreign Banks

Effective September 12, 2022, the New York Commercial Division Rules will require parties preparing responsive pleadings to “interlineate” the allegations which they are responding to within the responses themselves. Under new rule 202.70(g), titled “Interlineation of Responsive Pleadings”, counsel will essentially be required to restate the allegations of the complaint before responding to them in an answer. The rule change will likewise apply to answers to counter-claims and cross-claims.
Continue Reading Commercial Division to Adopt New Rule Requiring Interlineation of Responsive Pleadings

In the New York County Commercial Division, Justice David B. Cohen’s ruling in B&M Kingstone, LLC v. Mega Int’l Comm. Bank Ltd., 2022 NY Slip Op. 30481(U) (Sup. Ct. N.Y. Cnty. 2022) makes clear that New York courts can compel New York branches of non-US banks to disclose information relating to accounts or assets held by branches outside of the United States. It also demonstrates that obtaining such information through judgment enforcement procedures can prove difficult.
Continue Reading Judgment Creditors Beware: Moving For Contempt May Be Within Reach, But Difficult To Grasp

For a moment in March 2020, litigation stopped abruptly when the first case of COVID-19 was confirmed in New York. Within a matter of weeks, the New York State Courts shifted to online operations and, amazingly, the administration of justice continued virtually. Now, nearly two years later, the use of technology to conduct remote hearings and conferences is firmly entrenched in the legal community of New York, making it possible for judges, their support staff, attorneys and litigants to litigate from anywhere with Internet access.
Continue Reading The Changing Landscape of Electronic Service

In Chadha v. Wahedna, 2021 NY Slip Op. 50509(U) (Sup. Ct. N.Y. Cnty. 2021), Justice Ostrager of the New York County Commercial Division, dismissed Plaintiff Nilsa Chadha’s (“Plaintiff”) claims in their entirety due to Plaintiff’s execution of a general release.
Continue Reading New York Courts Continue to Enforce Broad General Releases, Even When Claims are Unforeseeable at the Time of Contract Execution

Tharunidhar Narravula et al v. Perosphere Technologies, Inc. et al, Index No. 900410-21, Supreme Court, Albany County

In Narravula v. Perosphere Tech., 2021 NY Slip Op 50510(U) (Sup. Ct. Albany Cnty. 2021), Justice Richard M. Platkin of the Albany County Commercial Division reinforced the textbook rule that that an individual who signs a contract as an agent for an undisclosed entity can be held personally liable on the contract if the agency relationship is not disclosed.
Continue Reading Signing Contracts as a Representative May Lead to Individual Liability

In “Governor Cuomo’s “Tolling” of New York Statutes of Limitation Has Ended, But What Did It Accomplish?”, we examined the debate surrounding whether Governor Cuomo’s Executive Order No. 202.8 and subsequent orders up to and including Executive Order No. 202.67, which extended Executive Order No. 202.8 (collectively, the “Executive Orders”), actually tolled New York statutes of limitation and other litigation deadlines for the period of March 20, 2020 through November 3, 2020, or merely suspended them.  For purposes of determining whether a claim or an appeal was timely filed, the answer to this question can have huge implications. …
Continue Reading The Second Department Weighs in on Tolling vs. Suspension of Statutes of Limitation Pursuant to Governor Cuomo’s COVID-era Executive Orders

Mac Parent LLC v. North American Elite Insurance Company, Index No. 906489/2020, Supreme Court, Albany County

On March 29, 2021, Justice Richard J. Platkin, of the Albany County Commercial Division, dismissed an insurance coverage dispute pursuant to CPLR § 3211(a)(4) due to another action that was pending in New York County, making clear that New York courts do not tolerate forum-shopping in the face of clear forum selection clauses.  Mac Parent LLC v. North American Elite Insurance Company, 2021 NY Slip Op 50268(U) (Sup. Ct. Albany Cnty 2021).
Continue Reading Albany Commercial Division Looks Beyond “First-In-Time” Analysis When Considering Dismissal Pursuant to CPLR § 3211(a)(4)

In Black Diamond Aviation Grp. LLC v. Spirit Avionics, Ltd., 70 Misc. 3d 823 (Sup. Ct. Suffolk Cnty. 2020), Justice James Hudson of the Suffolk County Commercial Division limited the reach of New York’s long-arm statute, CPLR 302, in granting a motion to dismiss for lack of personal jurisdiction where the contract at issue was negotiated via emails between Ohio and Connecticut and no business was performed in New York.  The plaintiff argued that the Court had jurisdiction over defendant pursuant to CPLR 302(a)(1), which provides, in pertinent part, that a party will be subject to the jurisdiction of New…
Continue Reading Commercial Division Limits the Reach of New York’s Long-Arm Statute

COVID-19 has ushered in a new era for litigation in the Commercial Division. Here are the key developments litigants should be aware of.

Remote Appearances and No Paper Copies

In May 2020, e-filing in the Commercial Division resumed in earnest, with a few important differences from the status quo ante:

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Continue Reading The New Normal? An Update On Commercial Division Operations

Statutes of limitation were “tolled” in New York by Executive Order No. 202.8, issued by Governor Andrew M. Cuomo on March 20, 2020 in response to the COVID-19 pandemic.  Over the next six-and-a-half months, that toll was renewed by further executive order every 30 days until, on October 4, 2020, the Governor issued Executive Order No. 202.67, announcing that the tolling order would be extended for only one more 30-day period—“until November 3, 2020, and after such date [statutes of limitation] will no longer be tolled.”…
Continue Reading Governor Cuomo’s “Tolling” of New York Statutes of Limitation Has Ended, But What Did It Accomplish?

On Sunday, March 22, 2020, pursuant to Administrative Order AO/78/20 of Chief Administrative Judge Lawrence Marks, the New York Unified Court System took the drastic step of suspending all filings (both paper and e-filing) in all but a select few types of cases in all New York Courts.  The Order provides that:
…effective immediately and until further order, no papers shall be accepted for filing by a county clerk or a court in any matter of a type not included on the list of essential matters attached as Exh. A. This directive applies to both paper and electronic filings.
Continue Reading The New York State Courts Have Suspended Most Court Filings as of March 22, 2020