Law Offices of Marc H. Supcoff * Construction Law *  Commercial Litigation * Real Estate Transactions
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Recent DecisionS

Oyez! Oyez!

NEW! Manhattan Supreme Court Justices Order Lapsed Mechanic’s Lien Cancelled By Operation of Law and Mechanic’s Lien and Lien Discharge Bond Cancelled Upon Stipulation of Discontinuance of Lawsuit

On September 27, 2023, Justice Nicholas W. Moyne granted a Petition by Order To Show Cause filed by our Firm to cancel, vacate and discharge a mechanic’s lien against a Manhattan co-op on the grounds that the lien lapsed by operation of law. Our client previously hired a contractor to renovate the apartment in anticipation of its sale. A dispute arose concerning completion of the work and the contractor filed a mechanic’s lien. In August 2023, after a year passed without the contractor having foreclosed on the lien or filed an extension of lien, we commenced a lawsuit to cancel and vacate the lien on the grounds that the lien lapsed by operation of law. Mr. Supcoff appeared for oral argument on September 27, 2023. The Court issued its Decision + Order On Motion, dated September 27, 2023, canceling and discharging the lien. Since unit owners in co-ops own shares of a corporation, which owns the real property, a mechanic’s lien encumbers the real property. Most co-ops require a shareholder to immediately discharge a lien filed against a co-op or the co-op may do so and back charge the shareholder pursuant to the terms of the Proprietary Lease. Therefore, this decision was a win for both our client and the co-op.

Link to Decision and Order: https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=O0cP8uq_PLUS_cBc83b5nojOeFw==

On September 5, 2023, Justice Paul Goetz “So Ordered” a Stipulation of Discontinuance With Prejudice, cancelling, vacating and discharging a mechanic’s lien and mechanic’s lien discharge bond. The Stipulation and Order brought to an end nearly two years of litigation between a contractor and our clients, the owners of a Manhattan co-op apartment, regarding payment contractor alleged owed by unit owner and our client’s claim against contractor for breach of contract. Our clients had obtained a lien discharge bond and our Firm also represented the surety which was joined as a party to the lawsuit. Upon proof to the surety of satisfactory cancellation of the lien and the lien discharge bond, the surety returned to our clients cash collateral they were required deposit with the surety to obtain the bond.

Link to Stipulation So Ordered: https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=6nAQDwoC21cTw3HWdAmwmw==

Manhattan Supreme Court grants Defendants’ Motion to Amend Pleading to Add Willful Exaggeration of Mechanic’s Lien Claim

By Decision and Order, dated July 25, 2023, Hon. Paul A. Goetz granted Defendants co-op apartment shareholders’ unopposed motion to amend its answer and counterclaims to add a willful exaggeration of lien counterclaim. The basis for the amendment was information obtained during discovery - including responses to Defendants’ Demand For Verified Statement of Lien - which Defendants argued demonstrated inconsistencies and changes in the labor rates, hours and dates of work performed by Plaintiff to intentionally and erroneously back into an exaggerated amount claimed in the mechanic’s lien.

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Manhattan Civil Court Judge Grants Motion For Default Judgment In Favor of Homeowner and Against Contractor Following Inquest Hearing

By decision and order dated June 15, 2022, NYC Civil Court Judge Richard Tsai granted Plaintiff homeowner’s motion for a default judgment as to liability against defendant contractor, and directed an assessment of damages. At an inquest hearing on October 4, 2022, Plaintiff presented documentary evidence and testified, which the Court found to be credible.  The Court ruled in favor of Plaintiff, awarding $15,000.00 with prejudgment interest at the rate of 9% per annum from February 19, 2020, the date the lawsuit against Defendant for breach of contract and unjust enrichment was commenced.  Our client hired defendant to perform electrical work at plaintiff’s apartment in Manhattan and house on Long Island.  The complaint alleged that Defendant failed to perform all of the work  and was overpaid. 

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Mechanic’s Lien Against Manhattan Co-Op Cancelled, Vacated and Discharged On Grounds that It Lapsed By Operation of Law/N.Y. Lien Law Section 59

On April 25, 2022, Manhattan Supreme Court Justice Lyle E. Frank, J.S.C. granted our client Petitioner co-op apartment unit owner’s Petition to cancel, vacate and discharge a notice of mechanic’s lien filed by a contractor who performed painting and related work at her apartment in 2019. The contractor filed a mechanic’s lien in December 2020. The contractor failed to foreclose on the lien within one year and did not file an extension of lien. The Petition alleged that the contractor walked off the job before it was completed and that Petitioner was required to hire a replacement contractor to finish and correct Contractor’s work, and that the cost to do so was equal or greater than the amount left in Contractor’s contract and the amount of the Lien. The contractor failed to foreclose -or file an extension of lien - within one year of filing the original lien as required by the N.Y. Lien Law, and did not oppose the Petition. The Court granted the Petition. Special Proceeding. COPY LINK IN BROWSER TO READ DECISION AND ORDER. https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=UJlv3FoXyd1kIXz_PLUS_xpF4iQ==

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Brooklyn Supreme Court Justice Denies Landlord’s Motion to Preclude As Moot; Tenant and Lease Guarantor Responded to Landlord’s Demand For Bill of Particulars

In this action by a landlord against our clients, a former tenant and lease guarantor, for alleged unpaid rent after tenant vacated the lease during the height of COVID-19 pandemic, Landlord moved to preclude Defendants from introducing evidence at trial of particulars allegedly demanded but not provided. Defendants provided a Bill of Particulars of Affirmative Defenses in accordance with the Case Management Conference (“CMO”) entered in the case. The Plaintiff served a separate Demand for Bill of Particulars outside of the time period set forth in the CMO. Although untimely, Defendants also separately responded to Plaintiff’s Demand for Bill of Particulars prior to the return date of the motion. On October 19, 2021, the Court, Hon. Lawrence Knipel, J. (Index No. 507517/2021), held that the motion was moot and that the Defendants provided responses to the Demand For Bill of Particulars. COPY LINK IN BROWSER TO READ ORDER: https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=PrSTXjfI8js8gEqXaUwfHQ==

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New York Supreme Court Justice Vacates and Cancels Notice of Mechanic’s Lien and Notice of Pendency Against Client’s House Damaged by Superstorm Sandy

By Order dated October 6, 2020, Hon. Orlando Marrazzo, Jr., J.S.C. granted our client homeowner’s motion vacating and cancelling a subcontractor’s mechanic’s lien and notice of pendency. The subcontractor sued the homeowner and the general contractor claiming that it owed it money for work performed on rebuilding the homeowner’s house which was severely damaged during Superstorm Sandy. However, the subcontractor did not sue to foreclose on the mechanic’s lien and the statute of limitations had already expired at the time of the filing of the within motion. In addition, the Notice of Pendency was improperly filed since a lien foreclosure action was never filed against the Property. The removal of the lien and notice of pendency were necessary for the homeowner to refinance their home after its reconstruction was completed. Nikos Home Improvements Inc. v. Steven Santo, et al. Index No. 151394/2019 (Richmond Co. Supreme Court 2020). COPY LINK IN BROWSER TO READ ORDER: https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=9SP97tRzFnMSq1RIr6tJsw==

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NY UCC Governs Contract Claims For Goods Delivered and Accepted;  Lost Profit Counterclaim Dismissed For Lack of Contemplation By Parties and Alleged Damages Speculative

The Law Offices has obtained summary judgment on behalf of a New York women's clothing company that filed suit in 2016 against a national retailer for breach of contract and account stated for failure to pay for purchase order goods delivered and accepted by the retailer.  Manhattan Supreme Court Justice Andrew S. Borrok also dismissed the retailers' counterclaims.  GMC MERCANTILE CORP. v. BON WORTH, INC.,  Index No. 653931/2016 (Andrew Borrok, J., Manhattan Sup. Ct. 2018). 2018 NY Slip Op 51162(U).   https://www.leagle.com/decision/innyco20180731414 

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Manhattan Supreme Court Vacates Mechanic's Lien For Lienor's Failure to Prosecute/Orders Surety to Return Lien Discharge Bond Collateral to Petitioner

On November 2, 2017, following oral argument, Manhattan Supreme Court Justice Kalish granted our client co-op shareholder's application by Order To Show Cause to vacate and discharge a mechanic's lien filed by respondent subcontractor. 

The original lien was filed on May, 26, 2015 and extended on May 11, 2016 for one year.  However, respondent failed to timely commence an action to foreclose on the lien (or to apply to the Court by the expiration of the extended lien for an order further extending the lien).  We filed a Verified Petition by Order To Show Cause to cancel the lien, supporting Affirmation and exhibits and proof of service of the Order To Show Cause.  In addition to canceling the lien,  the Court ordered the surety to return to petitioner collateral monies posted to securea previously filed lien discharge bond.

Application of Eric Stern v. W.J. Smith Construction Corp., Manhattan Supreme Court, Index No. 157673/2017 (Justice Kalish), PASTE LINK IN BROWSER TO READ DECISION:  https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=Iun5/crb3H//iZoq3CT2aw==

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Manhattan Supreme Court Grants RPAPL Petition/Issues License Permitting Brownstone Owner Access to Neighbor's Property to Complete Construction Project

The Firm successfully prosecuted an RPAPL 881 special proceeding and obtained an order of license on behalf of a Manhattan brownstone owner to gain access to the neighbor' property to complete renovation  and construction work on the brownstone owner's property. 

Chan v. Crown Wisteria, Inc., Manhattan Supreme Court, Index No. 151966/14 (Justice Bannon).  PASTE LINK IN BROWSER TO READ DECISION: https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=/IPTRQIHkmNnL/EeD7iYbw==

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Firm Obtains Money Judgment In Favor of Former Shareholder Against Corporations For Agreed To Value of Shares Redeemed and Money Judgment Against Corporations' Principal.  

Dubanos v. Kapner and Greenkap Corp., Index No. 605219/2014 (Nassau County Supreme Court). https://www.marcsupcofflaw.com/Patricia_Dubanos_v_Aaron_Kapner_et_al_JUDGMENT_28.pdf

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Westchester Supreme Court Grants Construction Manager Summary Judgment Dismissing Labor Law and Negligence Claims

Summary judgment granted to construction manager, dismissing all claims (i.e. negligence, NY Labor Law 200 , 240 and 241) in grave injury lawsuit, finding construction manager did not control or supervise subcontractor employee's  work and or control the activity which caused plaintiff's injury.

Jozwowicz v. Targoff et al., Westchester County Supreme Court, Index No. 12979/06 (Justice Mary H. Smith).  PLEASE CONTACT FIRM FOR COPY OF DECISION.