Private Club – MTA East Side Access Construction Issues
Represented a private club in its negotiations with the Metropolitan Transportation Authority on a mitigation plan to address concerns related to the impact of the MTA's $10.2 billion East Side Access project on the organization's landmark designated clubhouse.
European Insurer – Customized Political Risk Coverage
Representation of a major European insurer in designing and drafting an insurance policy covering political risks of an insured's non-European operations (for example, forced abandonment of a foreign country due to a governmental evacuation order). We drafted the policy to address the unique risks facing the insured, such as the potential loss of business income due to the cessation of the insured's operations of a railway in Africa. We also designed it to combine other risks such as pollution liability and coverage for the insured's construction projects.
Asphalt Contractor – Post 9/11 Reconstruction Bidding Dispute
Representation of an asphalt contractor in challenging the bidding procedure used by New York City and utility companies to award significant street reconstruction work near the World Trade Center site after the September 11th terrorist attacks. We obtained several temporary stays on the grounds that the bidding procedure violated public procurement laws. The city cancelled its invitation to bid and used a different procurement procedure.
Tribeca Construction and Mezzanine Financing
Represented a joint venture in obtaining complex construction and mezzanine loans for the development of several high-end residential luxury apartments in New York's Tribeca neighborhood.
General Contractor – Lien Foreclosure
Representation of a general contractor in a lien foreclosure action against the Metropolitan Transit Authority and the owner of 2 Broadway, New York, the MTA's headquarters. After a trial on the merits, the New York State Supreme Court awarded our client damages in excess of $1 million.
Developer – Discrimination Claim
Representation of a real estate developer and general contractor in an action by a minority subcontractor pursuing multi-million dollar discrimination and breach of contract claims. All claims were dismissed after a two week jury trial in the United States District Court for the Southern District of New York.
Joint Venture Partner – $40 Million Construction Agreement Dispute
Represented a joint venture in connection with disputes arising out of DEP construction agreements worth in excess of $40 million.
Developer – Construction Dispute
Representation of a property owner/developer.
Woolsulate – Lurgi Lentjes Arbitration
Representation of Woolsulate Corp., a New Jersey insulation contractor, in pursuing claims in mediation and arbitration against Lurgi Lentjes, a German energy company, to recover amounts due for services provided by Woolsulate at a PSE&G facility in Trenton, New Jersey.
New Yankee Stadium Financing and Development
Represented the New York Yankees in the issuance of $960 million of municipal tax-free and taxable bonds by the New York City Industrial Development Agency, which financed the lease and construction of the new Yankee Stadium. We also drafted and negotiated the lease agreement for the new stadium, as well as ancillary real estate agreements pertaining to parking lots and garages; construction, demolition and insurance, and public transportation. We were also integrally involved in navigating the Yankees through the lengthy federal, state and local governmental permit and approval process.
Condominium Board of Managers – Construction Defect Litigation
Representing the board of a Manhattan residential condominium tower in pursuing breach of contract claims against the condominium’s sponsor and building manager in connection with substantial material construction defects which will cost millions of dollars to repair.
Negotiated Settlement Resolving Construction Defect Dispute with Luxury Residential Tower’s Board
Represented the sponsor of a luxury Manhattan residential condominium tower in assessing and resolving damage claims asserted by the building’s board of managers in connection with alleged construction defects, violations of construction specifications, failure to comply with the offering plan, and breaches of various warranties. Negotiated a favorable settlement that resolved the dispute amicably and avoided potentially disruptive and costly litigation.
European Insurer – Chunnel Policy
Representation of a European insurer in structuring an aggregate declared risk capacity contract under which the insurer will provide insurance capacity to one of the world's leading engineering and construction companies for certain lines of insurance, including a cost overrun insurance program for the Channel Tunnel Rail Link.
NYSE Company – Internal Investigation
Representation of the Audit Committee of a New York Stock Exchange listed company to conduct an internal investigation of whistleblower claims brought by a former officer alleging that certain officers and directors had committed accounting fraud and violated the Sarbanes-Oxley Act.
Red Rock Services Trustee – Appellate Victory in Bankruptcy Litigation
Herrick secured an appellate victory for the chapter 7 trustee of bankrupt demolition subcontractor Red Rock Services, affirming a judgment of almost $1 million won in a bankruptcy adversary proceeding in the Eastern District of Pennsylvania. On behalf of the trustee, Herrick sued a general contractor for breach of its obligations under subcontracts with Red Rock in a pair of multimillion dollar construction projects in Baltimore and Boston. After eight days of trial, the trustee was awarded a judgment of almost $1 million, including attorneys' fees. Herrick defended the judgment on appeal to the district court, where it was affirmed, and went on to successfully defend the ruling on the defendant’s second appeal to the Third Circuit, which affirmed the judgments of the bankruptcy court and district court in their entirety.
Upper Eastside Co-op Owner – Construction Litigation Dispute with Former Contractor and Architect
Representing plaintiffs in a construction litigation dispute with their former contractor and architect involving claims for breach of contract, fraud and professional malpractice in connection with the multimillion dollar renovation of an Upper Eastside apartment.
Building Materials Manufacturer – Product Liability Disputes
Representing major manufacturer of commercial and residential roofing in multiple warranty claims.
Condominium Sponsor – Construction Defect Dispute with Construction Manager and Contractors
Representing the sponsor of a Brooklyn, NY condominium development in litigation with the project's construction manager and contractors arising from claims by the condominium's board of managers that work in accordance with an offering plan under which the condominium's units were sold was not adequately performed.
Developer – Successful Defense in Breach of Contract and Fraud Dispute
Herrick successfully defended Muss Development in the Appellate Division, First
Department appeal of Princes Point LLC, et al. v. Muss Development LLC et al., a
case involving the plaintiffs' breach of a $36 million contract to purchase
Princes Point, a 23-acre waterfront parcel of land on the south shore of Staten
Island, from Muss. The First Department unanimously confirmed Herrick's earlier
Supreme Court, New York County victory for Muss, which entitles the real estate
developer to retain the plaintiffs' approximately $4 million deposit plus other
fees totaling nearly $1 million. In doing so, the court delved into an area
where there was a dearth of case law in New York – namely, whether a prospective
real estate purchaser anticipatorily breaches a sale contract by commencing an
action against the seller for rescission before the closing date, and whether,
in that event, the seller is required to show that it was ready, willing, and
able to complete the sale. The court held that the plaintiff had
anticipatorily breached the contract and that Muss is entitled to keep the
deposit and other significant fees without having to show that it was ready,
willing and able to close. Once there was a breach , there was no need to spend
time and money preparing for a closing that was not going to happen.
Private School – Dispute with General Contractor
Representing a private school on Manhattan's Upper Eastside in litigation with former general contractor and subcontractors in a dispute claiming $15 million in damages related to a fire occurring during a significant renovation project due to the alleged negligence of the defendants.
Global Manufacturer of Building Products – Product Liability Litigation
Represented a global manufacturer of building products in litigation filed by an insurer, as subrogee of the purchaser of two roof systems. Plaintiff asserted claims for negligence, strict products liability and breach of express warranty relating to the alleged failure of those systems in a high wind event. Action was settled and dismissed on terms very favorable to our client.
Brazilian Investment Firm – Construction Dispute
Representing the US-based subsidiary of a Brazilian investment firm in a construction litigation dispute with the architect and design firm that formerly oversaw renovations at a 12-story midtown Manhattan office building owned by our client.
Construction Litigation – Dispute with General Contractor and Subcontractors
Representing a leading manufacturer and retailer of window coverings in litigation with the general contractor and various third-party defendant subcontractors in a dispute over payment for work done on a multimillion dollar building project in New Jersey.
Owner of Southampton Private Residence – Dispute with General Contractor
Representing the owner of a newly constructed private residence in Southampton, NY in an arbitration before the American Arbitration Association arising from a general contractor's claim for $1.4 million in damages for alleged non-payment of labor and materials. In addition to claims that the contractor's mismanagement caused significant damage to our client, we are also pursuing over $2 million in liquidated damages under the construction agreement between the parties.
Hotel Developer – Construction Litigation
Representation of New York City Hotel developer in construction litigation against general contractor.
Construction Management Company – Wrongful Termination
Representation of a construction management company in a dispute with NYU Hospitals Center regarding the termination of a multi-million dollar renovation contract. After a trial in Federal Bankruptcy Court, the court held in favor of our client on all counts, entitling them to payment of its outstanding requisitions and dismissal of all claims against them.
Real Estate Investment Management Companies – Construction Litigation
We defended a large industrial real estate investing entity and its investment management firm in a $90 million construction defect litigation with an industrial tenant in New Jersey. We succeeded in getting most of the plaintiff’s case dismissed on summary judgment, and then settled the rest of the dispute case before trial. The settlement included the plaintiff turning over escrowed back rent to our client and entering into a favorable lease extension.