Weksler v. Yaffe

129 Misc. 2d 633, 493 N.Y.S.2d 682, 1985 N.Y. Misc. LEXIS 2662
CourtNew York Supreme Court
DecidedJune 21, 1985
StatusPublished
Cited by7 cases

This text of 129 Misc. 2d 633 (Weksler v. Yaffe) 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
Weksler v. Yaffe, 129 Misc. 2d 633, 493 N.Y.S.2d 682, 1985 N.Y. Misc. LEXIS 2662 (N.Y. Super. Ct. 1985).

Opinion

OPINION OF THE COURT

Nicholas A. Clemente, J.

By a contract dated November 15, 1983, Eleanor B. Yaffe and Helen M. Blumberg agreed to sell 8805 18th Avenue in Brooklyn, New York, to Jack Weksler (who owned an adjoining building) and Norman Green. The purchase price was $150,000 which was in part to be paid by the giving of a purchase-money mortgage in the amount of $60,000.

[634]*634A handwritten rider to the contract provided that:

"B. Purchaser will take subject only to the violations dated October 31, 1983 and to sidewalk violations, if any. Seller shall be responsible for any violations issued prior to the date of this contract provided that if the cost to cure same exceeds $1,000.00, seller shall have the right to cancel this contract and return the deposit paid hereunder, provided however that the purchaser shall have right to accept the premises with such violation if any and receive an abatement of $1,000.00 towards the purchase price [sic].
"C. If this contract is cancelled at sellers default or sellers election the deposit paid hereunder shall be returned to purchaser together with reasonable cost not to exceed $4,000 to repair the sidewalk, if same has been repaved by purchaser [sic]”

By letter dated February 23, 1984, the agent for Blumberg and Yaffe wrote to Weksler and Green that pursuant to paragraph C of the rider they were canceling the contract and returning the down payment.

Weksler and Green, plaintiffs herein, then commenced this action, inter alia, against defendants Yaffe and Blumberg by summons and complaint dated March 13, 1984 seeking specific performance of the contract dated November 15, 1983 and damages.

Damages are sought for (1) $4,000 because of a sidewalk repair made by plaintiffs; (2) $150,000 because plaintiffs had agreed to assign the contract of November 15, 1983 for $300,-000 resulting in a profit of $150,000 but they were forced to default on the assignment because of defendants’ failure to convey title; and (3) $30,000 which was to be paid to a broker for arranging the assignment. Plaintiffs also placed a lis pendens on the property at 8805 18th Avenue.

Defendants now move for an order vacating the lis pendens so that they may sell the . subject premises with the proviso that they deposit the proceeds of the sale in a special fund to answer for damages to the plaintiffs, if any.

Defendants’ attorney in an affirmation in support of the motion apparently contends that there has been some breach of the contract by plaintiffs because Weksler stated he was buying the property for himself and would personally give the mortgage but that in actuality Weksler and his copurchaser assigned the contract. Defendants also seem to assert that [635]*635they have a right to cancel the contract under paragraph C of the rider set forth supra.

Defendants seek to further buttress their claim for relief with an allegation that plaintiffs’ attorney indicated that plaintiffs are not interested in obtaining the building but seek instead money damages. Finally, defendants point to the hardship of maintaining the subject building which is vacant and their inability to dispose of the building because of the lis pendens.

Plaintiffs in opposing the motion initially point out that there is no basis whether statutory or precedential for the relief sought by defendants. Plaintiffs concede that they had assigned the contract for $300,000 and assert that this was the very reason for defendants’ breach, namely, their inability to suffer the profit plaintiffs were making on the deal. Plaintiffs do not agree, however, that they seek only money damages but maintain that they seek both $150,000 in damages representing lost profit and specific performance of the contract.

An examination of the law relating to lis pendens removal indicates that this matter is one involving the statutory interpretation and application of CPLR 6514 (b) and 6515.

CPLR 6514 (b) provides the following: "(b) Discretionary cancellation. The court, upon motion of any person aggrieved and upon such notice as it may require, may direct any county clerk to cancel a notice of pendency, if the plaintiff has not commenced or prosecuted the action in good faith.”

As to this provision, the operative issue is the "good faith” of the plaintiffs. Where the action is not being diligently prosecuted or the action has been commenced in order to procure a notice of pendency for some ulterior purpose, the court should exercise its discretion and remove the notice of pendency (7A Weinstein-Korn-Miller, NY Civ Prac ¶ 6514.10). In seeking to vacate a lis pendens based on a claimed lack of good faith, however, the burden is upon defendants to show that plaintiffs lacked good faith in their commencement or prosecution of the action (Barnett v Barnett, 79 AD2d 762, 764). Nor is the burden easily met (cf. Jonestown Place Corp. v 153 W. 33rd St. Corp., 74 AD2d 525, 526) since it has been held that the presence of "any cognizable claim” is sufficient to establish good faith and there must be at least a substantial question to show the absence of good faith (see, Hercules Chem. Co. v VCI, Inc., 118 Misc 2d 814, 826).

Applying these principles to the instant matter, it be[636]*636comes readily apparent that defendants have failed to show plaintiffs’ lack of good faith. More significantly, defendants have failed to come forward with any valid excuse for their default on the November 15, 1983 contract of sale. A perusal of paragraphs B and C of the rider shows that there is a serious question as to defendants’ right to cancel under the circumstances herein.

Since CPLR 6514 (b) cannot be a basis for relief for defendants the issue then becomes whether CPLR 6515 provides a means to remove the lis pendens.

CPLR 6515 states:

"In any action other than one to foreclose a mortgage or for partition or dower, the court, upon motion of any person aggrieved and upon such notice as it may require, may direct any county clerk to cancel a notice of pendency, upon such terms as are just, whether or not the judgment demanded would affect specific real property, if the moving party shall give an undertaking in an amount to be fixed by the court, and if:
"1. the court finds that adequate relief can be secured to the plaintiff by the giving of such an undertaking; or
"2. in such action, the plaintiff fails to give an undertaking, in an amount to be fixed by the court, that the plaintiff will indemnify the moving party for the damages that he may incur if the notice is not cancelled.”

The initial question concerns the meaning of CPLR 6515.

The process embodied in CPLR 6515 for lis pendens removal is set forth in Rosenhaus v 305 W 97th (8 Misc 2d 433) which explanation was quoted in Weinstein-Korn-Miller (vol 7A, NY Civ Prac ¶ 6515.05). The court in Rosenhaus explained the CPLR 6515 procedure (p 434) as follows: "The person filing the lis pendens may continue its effectiveness by making a deposit or giving an undertaking which the court may in its discretion require. That undertaking or deposit is the security which the property owner has in the event of the ultimate failure of the proceeding by the person so filing.

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Cite This Page — Counsel Stack

Bluebook (online)
129 Misc. 2d 633, 493 N.Y.S.2d 682, 1985 N.Y. Misc. LEXIS 2662, Counsel Stack Legal Research, https://law.counselstack.com/opinion/weksler-v-yaffe-nysupct-1985.