Todem Homes, Inc. v. Freidus

84 Misc. 2d 1023, 374 N.Y.S.2d 923, 1975 N.Y. Misc. LEXIS 3256
CourtNew York Supreme Court
DecidedSeptember 29, 1975
StatusPublished
Cited by8 cases

This text of 84 Misc. 2d 1023 (Todem Homes, Inc. v. Freidus) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Todem Homes, Inc. v. Freidus, 84 Misc. 2d 1023, 374 N.Y.S.2d 923, 1975 N.Y. Misc. LEXIS 3256 (N.Y. Super. Ct. 1975).

Opinion

William L. Underwood, Jr., J.

This case has had a lengthy legal history arising primarily as the result of the construction of a contract involving a complex real estate transaction.

A brief review of its history will place the case in its present posture.

On June-10, 1969, plaintiff and defendant, Ella Freidus (the contract is in her name but since her husband is named ás a defendant, the court will hereinafter refer to them in the plural), entered into a contract of sale of 20 acres of land in Lloyd Harbor, New York. Simultaneously therewith, they entered into a lengthy memorandum agreement (hereinafter referred to as the Agreement). The Agreement permitted the plaintiff to exercise an option to repurchase 17 acres within 30 months from June 10, 1969, provided it complied with certain conditions.

In 1971, prior to the expiration of the option, plaintiff and defendants could not agree on their respective responsibilities and obligations to be performed under the Agreement and plaintiff sued for a declaratory judgment. The action was terminated by a stipulation of settlement and plaintiff’s time to exercise the option was extended to February 23, 1972.

Plaintiff believed that defendants were "unco-operative” and moved to vacate the stipulation. A hearing was held and an order was entered on May 16, 1973, extending plaintiff’s time to exercise its option to August 31, 1973. The order directed defendants to pay any tax lien or arrearage affecting the premises. It also ordered both sides to comply with all of the terms and conditions set forth in the Agreement and stipulation.

Plaintiff exercised its option and scheduled a closing for August 31, 1973; defendants did not appear. Plaintiff moved to punish defendants for their willful contempt and disobedience of the May 16, 1973 order. A hearing was held and the defendants did not present any evidence in opposition. The court found that the defendants’ conduct did impede, impair and prejudice the rights of plaintiff and adjudged them in [1026]*1026contempt. The court, however, did permit them to purge themselves by conveying the "optioned land” to plaintiff.

Another closing was scheduled for July 2, 1974, and again, defendants failed to appear. Plaintiff presently seeks an order directing the Sheriff to convey the property to it (see CPLR 5107). Defendants opposed the motion and requested a hearing to "resettle” the court’s order of April 22, 1974, to protect defendants’" rights under the Agreement. Defendants allege four areas of concern, namely, (1) full and free access to Dock Hollow Road and title insurance therefore; (2) a survey of the property; (3) payment of taxes and interest; (4) payment of attorney’s fees.

At the hearing on July 25, 1974, the court permitted the defendants to reopen the order for the purpose of presenting evidence and arguments concerning the four items.

Defendants however, incorrectly cross-moved to resettle the court’s order of April 22, 1974, to have the court consider the four additional issues. (2 Carmody-Wait 2d, NY Practice, § 8:125 et seq.) The court treated the cross motion as one to reargue plaintiff’s motion to punish defendants for contempt because all the facts were not before the court when it decided the initial motion. The court exercised its discretion in the interest of justice because of the protracted litigation and defendants’ statement that "in an effort, in good faith, to put before the Court all of the questions that could be raised with respect” to the conveyance, this action would be finally laid to rest.

I: FULL AND FREE ACCESS TO DOCK HOLLOW ROAD

The contract of sale contained a description of the property which included "an easement and right-of-way for ingress and egress over a private right-of-way known as Dock Hollow Road”. The contract also contained a clause that the "Seller warrants and represents that the Purchaser shall have full and free access to Dock Hollow Road for the purpose of ingress and egress * * * [and] * * * this representation and warranty to survive delivery of the deed.”

The Agreement stated that "it is an express condition of this Agreement that after partition of the whole of said premises, the second party shall continue to have and enjoy unimpeded access over Dock Hollow Road * * * in the same [1027]*1027manner as is provided and prescribed in the contract of sale * * * and the second party shall obtain title insurance therefore as a condition precedent to conveying the seventeen acre parcel.”

Defendants construe these provisions to mandate that plaintiff give defendants access to Dock Hollow Road without their paying maintenance charges for the use of the road, and title insurance to that effect. In other words, defendants want more than merely being able to use the road.

To sustain their position, defendants rely on the following items expounded by them at the hearing. First: both defendants testified that they expressed concern over the condition in the preliminary contract that required them to join the Dock Hollow Road Association (hereinafter referred to as the Association) and pay the road maintenance charges, and that the Association (by two letters) had stated that access was conditioned upon payment of the maintenance charges. They did not want this condition in the contract and the closing "broke-up” over this point. The condition was deleted from the contract as signed by the parties. Second: since the defendants obtained an easement over the road, the additional language concerning "full and free access” and the amendments (i.e., deleting the provision that defendants join the Association and pay maintenance charges, title insurance, the seller’s warranty of access to survive delivery of the deed, and to be defended by the seller at his own cost) necessarily added something to the contract. Third: defendants introduced several letters (which were dated before the expiration of the first option period and shortly thereafter) from their attorney and from plaintiff’s attorney to show that the parties intended that defendants could use the road without paying the maintenance charges. Specifically, defendants point to two letters (January 10, 1972 and January 19, 1972) whereby defendants’ attorney confirmed plaintiff’s attorney’s statement that defendant would not have to become members of the Association or pay maintenance charges because plaintiff "will take care of it”, and that plaintiff’s attorney would deposit $10,000 or $15,000 of his fee with the Association to cover defendants’ maintenance charges. Fourth: plaintiff sued the Dock Hollow Road Association on behalf of the defendants to permit them to use the road. Fifth: the title policy concerning access to the road is conditioned upon defendants’ maintaining a singe-family residence, joining the Association, and paying the mainte[1028]*1028nance charges. Defendants contend that the policy should be an unconditional one as required by the Agreement.

Plaintiff, on the other hand, contends that "full and free access” means that defendants will be provided with access to and use of the road, but that they will have to pay the maintenance charges for the upkeep of the road in the same manner as the other abutting landowners. In support thereof, plaintiff relies on the following: First: the president of plaintiff testified that the defendants did not want to join the Association but orally agreed to pay for the maintenance charges. Second:

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Mohen v. Mooney
205 A.D.2d 670 (Appellate Division of the Supreme Court of New York, 1994)
Interstate Properties v. Pyramid Co. of Utica
581 F. Supp. 982 (S.D. New York, 1984)
Schmidt v. Magnetic Head Corp.
97 A.D.2d 151 (Appellate Division of the Supreme Court of New York, 1983)
Libra Bank Ltd. v. Banco Nacional De Costa Rica, S.A.
570 F. Supp. 870 (S.D. New York, 1983)
McCrensky v. Schweitzer
116 Misc. 2d 183 (New York Supreme Court, 1982)
Fisher v. Smith (In Re Medico Associates, Inc.)
23 B.R. 295 (D. Massachusetts, 1980)
Todem Homes, Inc. v. Freidus
55 A.D.2d 640 (Appellate Division of the Supreme Court of New York, 1976)

Cite This Page — Counsel Stack

Bluebook (online)
84 Misc. 2d 1023, 374 N.Y.S.2d 923, 1975 N.Y. Misc. LEXIS 3256, Counsel Stack Legal Research, https://law.counselstack.com/opinion/todem-homes-inc-v-freidus-nysupct-1975.