Matters

Prominent Real Estate Developer – Dismissal of All Claims in Breach of Contract Dispute

Defended affiliate entities of a prominent real estate developer and minority members of the owner of a 20-acre redevelopment project in an $18 million dispute alleging breach of contract, breach of fiduciary duty and related business torts. Herrick secured dismissal of all claims by establishing that the operating agreement granted our clients sole and exclusive discretion over development decisions and that the documentary evidence conclusively refuted plaintiffs' allegations. The court subsequently denied plaintiffs' motion to reargue and awarded attorneys' fees to our clients.

Commercial Real Estate Firm – Partial Summary Judgement Granted in Complex Dispute

Awarded partial summary judgement on behalf of commercial real estate client in a dispute with a former officer and member of the parties’ investment vehicle. The New York Federal Court held that that the plaintiff former officer breached contractual obligations and fiduciary duties by misappropriating resources and soliciting investors during his employment. The Court granted Herrick’s clients’ requested declaratory relief by holding that they properly ascribed “Cause” to the officer’s termination upon discovering the misconduct and validly effectuated the termination and redemption of his profits interest in the parties’ investment vehicle for a penny. The Court also ordered the disgorgement of the former officer’s salary and value of company paid benefits during his period of disloyalty together with injunctive relief requiring him to return all confidential and proprietary information. Notably, the Court also held that the officer’s new business and business partner were jointly and severally liable for aiding and abetting the breaches of fiduciary duty. The remaining claims asserted between the parties were resolved shortly thereafter on confidential terms.

Debt Broker – Obtained Dismissal in Real Estate Financing Dispute

Represented a debt broker in a lawsuit arising from a guaranty executed in connection with a real estate development project. A third-party plaintiff asserted claims including fraudulent inducement, negligent misrepresentation, breach of fiduciary duty, indemnification and unjust enrichment, alleging he was misled into signing the guaranty. Herrick secured dismissal of all claims, with the court finding that the plaintiff failed to establish justifiable reliance, did not satisfy New York’s heightened pleading standards for fraud-based claims and could not establish personal jurisdiction over the defendant. The court further held that the defendant, as a non-party to the guaranty, was not bound by the agreement’s forum-selection clause.

Estate of a Prominent Family – Secured Favorable Resolution of Complex Real Estate Ownership Dispute

Represented the estate of a deceased investor in a complex dispute involving ownership interests in multiple real estate holding companies and Brooklyn properties. Following years of contentious litigation, including challenges to ownership rights, accounting claims and efforts to protect and preserve the underlying assets, Herrick achieved a comprehensive settlement that provided for the buyout and sale of the properties, recovery of misappropriated funds and an equitable division of remaining company assets. The resolution allowed the client to avoid further litigation and realize the full value of its ownership interests.

National Plumbing Company – Obtained Default Judgment and Discovery Sanctions in Construction Payment Dispute

Represented a plumbing company, who served as a subcontractor in a major New York City construction project, in litigation arising from more than $1 million in unpaid invoices related to the project. After securing summary judgment on breach of contract and trust fund diversion claims, Herrick successfully obtained a default judgment against an individual defendant whose failure to preserve and produce key records resulted in significant discovery violations. The court granted Herrick’s motion for sanctions, striking the defendant’s answer and entering judgment in favor of the client, substantially enhancing the client’s ability to recover the amounts owed.

Real Estate Investment Firm – Motion to Dismiss Granted in Breach of Contract Dispute

Represented a real estate investment firm in a dispute arising from a $32 million promissory note following the borrower's failure to repay the debt at maturity. After the borrower paid a contractual multi-million-dollar late fee under protest, it commenced litigation seeking to recover the payment through breach of contract and related claims. Herrick successfully secured dismissal of the action in its entirety, with the court holding that the note's late fee provision was enforceable under New York law and applicable to the maturity payment.

Real Estate Development Firm – Complex Governance and Control Dispute

Defending a leading estate development firm as majority and managing member of a significant mixed-use development project involving three different litigations filed by the minority member. These disputes are complex and involve overlapping claims seeking significant damages, declaratory relief and control of project economics. On appeal, Herrick secured the dismissal of nearly $100 million of the claims against our client. In a separate appeal, the appellate court reversed and compelled arbitration of certain of the claims against our client. The litigation remains ongoing.

Hotel Owner – Breach of Contract Dispute

Successfully secured a favorable settlement on behalf of the hotel owner following contentious litigation against the hotel’s management company. The dispute arose from the management company’s numerous breaches of a management agreement and fiduciary obligations to the hotel owner.

Cooperative Housing Corporation – Summary Judgment Granted in Breach of Contract Dispute

Successfully represented a residential cooperative corporation in litigation against the developer of an adjacent property arising from damage caused during construction activities and the developer’s refusal to compensate the cooperative in breach of a construction license and access agreement. Following discovery, Herrick secured summary judgment on liability and the client’s entitlement to attorneys’ fees.

Aviation Services Company – Breach of Contract and Unjust Enrichment Claims

Negotiated a favorable settlement on behalf of an aviation services company to resolve breach of contract and unjust enrichment claims filed in New York federal court in connection with a business venture to purchase and modify a large commercial aircraft for a planned sale to a third-party for use as an executive business jet.

Prominent Accounting Firm – Administrative Law and Government Oversight Dispute

Represented a prominent accounting firm and its principal in their capacity as the independent monitor overseeing a public industrial development agency ("IDA") in litigation arising from a proposed $607 million distribution center project and related tax benefits valued at over $100 million. The monitor vetoed the IDA's proposed tax benefit award based on the applicant's failure to provide sufficient evidence that the tax benefits were needed. Herrick secured dismissal of all claims against our clients, with the court finding that the monitor's veto of the project was timely and that the IDA failed to exhaust its administrative remedies, resulting in the dismissal of the action in its entirety.

Hotel Owner – Arbitration Win in Lease Dispute

Won an arbitration on behalf of our client, the owner of a hotel and 50 percent member of the hotel’s restaurant tenant. Post‑pandemic disputes between the members led to our client terminating the restaurant’s lease, after which the other member-initiated arbitration alleging operational interference and damages. One of the main issues in dispute was the right to cash in a joint bank account. The arbitrator ultimately ruled in favor of our client, finding that our client held 100 percent of the capital account and, after accounting for unpaid shared costs and the use of joint funds for the restaurant’s legal fees, ruled that our client is entitled to all cash in the shared accounts.

Hotelier and Restaurant Developer – SEC Receivership Clawback Litigation

Secured an extremely favorable settlement on behalf of a prominent national hotelier and restaurant developer in connection with an aggressively litigated action commenced by an SEC appointed receiver in the United States District Court for the District of New Jersey.

Residential Brokerage – Raiding Dispute Favorably Resolved

Represented a major residential brokerage firm in a high-profile raiding dispute involving the improper recruitment of a former manager of one of our client’s key regional offices by a venture capital-backed competitor. This litigation was resolved favorably under a settlement agreement which imposed restrictions on any future recruitment of our client’s executives by the competitor in addition to certain financial terms.

Aircraft Retrofitter – Litigation in Connection with Aircraft Sale

Defense of an aircraft retrofitter in litigation filed in New York federal court alleging that the company conspired with a multinational aerospace and transportation company, named as a co-defendant, to sell a nearly $22 million jet to the plaintiff by falsely claiming the aircraft could be modified to fly internationally. Claims include fraud, negligent misrepresentation, and fraudulent inducement.

Ukrainian Technology Services Company – Breached Master Service Agreement

Herrick secured an extremely favorable settlement on behalf of a Ukraine-based technology service provider, resolving its claims against a US-based multinational financial services company in connection with more than $6 million in software development services rendered by our client. Significantly, this settlement was accomplished without engaging in potentially extensive and costly litigation.

Advertising Company – Negotiated Numerous Agreements

Negotiated numerous advertising agreements on behalf of out-of-home advertising company, including with billboard owners, double-decker bus owners, boat operators and various other types of media assets.

Advertising Company – Breach of Contract Dispute

Secured default judgment on behalf of an outdoor advertising company against a bus operator who was unable to provide operational buses on which it was required to display advertising.

Scott C. Ross, Partner