Commercial Division Blog: Current Developments in the Commercial Divisions of the New York State Courts

On May 26, 2024, Justice Joel M. Cohen granted plaintiffs’ motion to amend. The plaintiffs in Behar v. 5 Star Legal Funding, LLC, Index No. 657390/2020, who invested in certain litigation funds and advances as limited partners, asserted multiple claims against defendants alleging that defendants engaged in a pattern and practice of mismanagement, misuse, misappropriation, and diversion of plaintiffs’ funds. After discovery, plaintiffs moved to file their Second Amended Complaint. The Court granted the motion, explaining: Read More

On November 27, 2023, Justice Joel M. Cohen denied a motion brought by the defendant to amend its pleadings to add a new fraudulent inducement defense before renewing its motion for summary judgment in light of that new defense. The decision in Thomas O’Connor et al. v. Society Pass Incorporated, Index No. 656938/2019, indicated openness to the general procedure for amendment and renewal but found that the defendant had not made the required prima facie showing that its defense met the heightened pleading standard for fraud. The Court explained: Read More

On February 21, 2023, Justice Joel M. Cohen of the New York County Commercial Division issued a decision in Baker v. Waller Capital Corp., 2023 N.Y. Misc. LEXIS 709, granting plaintiff’s motion to amend in part to add claims for fraudulent conveyance and conversion against certain defendants. The Court explained: Read More

On February 15, 2023, Justice Melissa A. Crane of the New York County Commercial Division issued a decision in State of N.Y. ex rel. Phone Administrative Services, Inc. v. Verizon N.Y., Inc., 2023 NY Slip Op 30473(U), granting plaintiff leave to amend and rejecting defendants' arguments that additional discovery and lengthier litigation constituted prejudice, explaining: Read More