Matters

Jury Dismisses Subcontractor’s Discrimination and Breach of Contract Claims

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.

Real Estate Board of New York – Mitchell-Lama Litigation

Represented the Real Estate board of New York in its successful lawsuit against the New York City Council to overturn Local Law 79. The law required owners of Mitchell-Lama housing and housing subsidized by certain federal programs to give a right of first refusal to purchase their projects to tenants, pursuant to an ambiguous and burdensome process. The Court found that the law was preempted by federal and state housing laws, and enjoined the City from enforcing it.

Title Insurer – Fraud and Defalcation

Representation of a title insurance company in recovering $8 million in losses incurred by defalcation and fraud of a title agent.

Real Estate Management Company – Tax Protection Dispute

Represented a real estate management company in defending against a multi-million dollar claim that it breached a tax protection agreement with a property owner that contributed an office building to the partnership. The property owner claimed that the tax protection agreement was triggered by the real estate company's merger with another company.

Real Estate Developer – Mitchell Lama Contract Dispute

Represented a major developer in enforcing a $100 million contract to sell a Mitchell Lama project on Roosevelt Island, New York. The trial court dismissed our complaint, but the Second Department, relying on our legal arguments, reversed the lower court and permitted the claim for specific performance to move forward. (R.I. Island House LLC v. North Town Phase II Houses, Inc. (2nd Dep't, May 2008)).

Congregation Yetv Lev D’Satmar, Inc. v. 26 Adar N.B. Corp. – Religious Corporations/Title Dispute

Appearance as amicus curiae on behalf of the New York State Land Title Association in an important appeal involving issues under New York's Religious Corporations law.  Congregation Yetev Lev D'Satmar, Inc. v. 26 Adar N.B. Corp., 641 N.Y.S.2d 680 (2nd Dep't 1996)

Real Estate Developer – Mixed-Use Conversion Case

Successfully represented a real estate developer in litigation over its right to convert a building it purchased from office/retail use to mixed office/retail and residential use.

Real Estate Management Company – Repair and Restoration Dispute

Representation of a Manhattan real estate management company in a long-running dispute with a neighbor over the repair and restoration of a chimney. Immediately following a half-day bench trial, the justice ruled from the bench in favor of our client in the full amount claimed plus interest and attorneys' fees.

Finance Company – Ponzi Scheme Foreclosure

Representation of a finance company in its foreclosure of a commercial property placed in receivership due to the collapse of an alleged Ponzi scheme by the ownership entity.

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.

Real Estate Developer – Construction Litigation

Represented a real estate developer in a multiparty litigation involving alleged construction defects resulting from the conversion of a 17-story refrigerated building into a condominium property. Herrick replaced prior counsel, and was able to quickly settle lawsuits that had been pending in both federal and state court in New York for over a year.

Title Insurance Company – Fraud Action

Representation of a title insurance company in obtaining a $1.4 million judgment and attachment of the defendants' bank accounts in a fraud action.

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.

Nomura Securities – 3 Bryant Park Sublease

Represented a subsidiary of Nomura Securities, in a 70,000-sq.-ft. sublease to Stifel, Nicolaus & Company at 3 Bryant Park.

Motions for Temporary Restraining Order and Preliminary Injunction Denied in Ongoing Shareholder Derivative Action

Successfully opposed a motion for a temporary restraining order and preliminary injunction on behalf of the manager and managing agent of five limited liabilities companies that control multi-unit residential properties in New York City. Herrick continues to defend the client in ongoing shareholder derivative litigation in New York state court, alleging commercial torts and seeking, among other things, a dissolution of the LLCs and the appointment of a temporary receiver.

Real Estate Partnership Dispute – Pre-trial Dismissal of Claims for Breach of Fiduciary Duty, Corporate Waste and an Accounting

Herrick negotiated a favorable settlement on behalf of a managing agent and its principals, resolving contentious litigation in New York state court between partners in a venture to develop and lease a medical office building. Prior to reaching the settlement, Herrick secured a number of advantageous rulings - including pre-trial dismissal of claims for breach of fiduciary duty, corporate waste and an accounting - which positioned our clients well in the negotiations that ultimately led to the partnership’s sale of its leasehold interest in the property on favorable terms, a transaction on which Herrick also advised.

National Drug Retailers – Litigation to Recover Property Tax Overcharges

Represented national drug retailers in lawsuits alleging that property managers over billed them millions of dollars for their share of property taxes - successfully opposing the property managers’ motions to dismiss in the trial court and on appeal before the New York Supreme Court's Appellate Division.

Real Estate Investment Fund – Action to Foreclose on $39.5 Million Mortgage Secured by New Jersey Office Building

Delivered a series of important victories on behalf of a real estate investment joint venture in hard fought litigation to foreclose on a $39.5 million mortgage secured by an Edison, New Jersey office building. After obtaining rulings that struck or dismissed all of the defendant debtors’ affirmative defenses and the majority of their counterclaims and third-party claims, the firm won the appointment of a special fiscal agent to oversee the receipt and disbursement of all future revenue from the building as well as an order requiring the return of all misappropriated funds. In the wake of these successes, the parties were able to reach a settlement on extremely favorable terms for the client.

Condominium Owner – Property Damage Claims

Representing a retired hedge fund manager in pursuing claims related to significant property damage to his unit in a 51-story luxury midtown Manhattan tower caused by an overflowing swimming pool located in a neighboring unit.

International Real Estate Investment Firm – Real Estate Brokerage Dispute

Negotiated a favorable settlement on behalf of the North American arm of an international real estate investment and finance company to resolve litigation over a brokerage commission in connection with the client’s acquisition of an iconic Los Angeles building.

Dismissal of Hurricane Sandy Class Affirmed on Appeal

Successfully defended three owners of sizable residential portfolios and five managing agents of rental properties located in downtown Manhattan in a putative bi-lateral class action brought by three plaintiffs seeking statutory rent reimbursement for loss of services during Hurricane Sandy. Herrick obtained dismissal of the complaint on a pre-class certification motion for summary judgment made prior to any discovery, asserting that the class claims as pled failed to satisfy the statutory requisites of a class action. On plaintiffs’ appeal, the Appellate Division, First Department unanimously affirmed.

Board of Managers – Construction Defect Litigation with Sponsor

Representing the Board of Managers of a two-building condominium in Brooklyn Heights in a dispute with the building’s sponsor over a myriad of alleged constructions defects and instances of non-compliance with the offering plan.

Affordable Housing Developer – Resolution of Breach of Contract Claims against NYCHA

Negotiated a favorable settlement on behalf of a national developer of affordable housing, resolving a breach of contract litigation against the New York City Housing Authority related to a high-profile and long-stalled project to redevelop a large New York City public housing complex.