Monthly Archives: June 2017

Second Department Rejects Yellowstone Application where Tenant’s Default was not Curable

Real estate veterans are well familiar with the court order known as a Yellowstone injunction, which is sought by a commercial tenant to stop a landlord’s termination of its lease. In order to obtain the injunction, a tenant must demonstrate that: (1) it holds a lease, (2) its landlord served a notice to cure, (3) [...]

June 16th, 2017|Newsletter|

Appellate Division Rejects Finder’s Fee Claim

The recent decision issued by the First Department in Multi-Capital Group LLC v. Karasick, et al, 149 A.D.3d 437 (1st Dep’t April 6, 2017) provides a good set of facts to comprehend when a finder’s fee claim is viable. That case concerned the sale of the U.S. Steel Tower Building in Pittsburgh. The plaintiff submitted [...]

June 1st, 2017|Newsletter|

First Department Blesses Customary Rent Prove-Up Practice Utilized by Commercial Landlords

The recent decision in Moon 170 Mercer, Inc. v. Vella, 146 A.D.3d 537, 45 N.Y.S.2d 415 (1st Dep’t 2017) blesses the practice commercial landlords customarily utilize to prove-up the rent for which a tenant or guarantor is liable. In this case, the First Department granted summary judgment to the commercial landlord against the guarantor and [...]

June 1st, 2017|Newsletter|

Commercial Division Rejects Landlord’s Application to Vacate Arbitration Award Establishing Fair Market Rent to be Paid by McDonald’s Restaurant

The recent decision by Hon. Shirley Werner Kornreich in Broadway Retail Owner, LLC vs. McDonald’s Corp., No. 651884/2014, 2017 N.Y. Slip. Op. 50011(U), 54 Misc.3d 1206(A) (Supreme Court, New York County, Jan. 9, 2017) concerned a very common provision in commercial leases, which established future rent based upon a percentage of the fair market rent [...]

June 1st, 2017|Newsletter|

Hon. Sabrina B. Kraus Orders Seller to Return Purchaser’s Down Payment

The recent decision in Gonzalez v. Char & Herzberg, LLP, 2017 WL 1031941 (Bronx County Mar. 13, 2017) concerned a dispute that frequently arises after a deal blows up - whether or not the purchaser has the right to recover her down payment. The purchaser agreed to purchase a single-family home located in Bronx County [...]

June 1st, 2017|Newsletter|

Appellate Division Kills Commercial Lease Guaranty Claim for Failure to Submit Original Agreement at Trial

In 76-82 St. Mark’s, LLC v. Gluck (Supreme Court, Kings County) a commercial tenant sought to recover damages for breach of a guaranty agreement. At trial, the landlord’s counsel attempted to enter into evidence a faxed copy of the agreement that was missing two lines on the second page. The trial judge denied admission of [...]

June 1st, 2017|Newsletter|