Condominium Board – Condominium Litigation

Prevailed on a matter of first impression before the Appellate Division, First Department. At issue was the statute of limitations under Real Property Law (“RPL”) section 339-l, which provides that condominium common charges are to be held in trust for the benefit of materials suppliers, laborers, contractors, and other construction professionals, provided that (i) those individuals provided services benefitting condominium common elements and (ii) the services were provided at the request or consent of the board of managers. RPL § 339-l does not specify a statute of limitations, and a contractor sued Herrick’s client for a violation of the statute based on a five-year-old claim. At the trial court level, Herrick prevailed on a motion to dismiss, successfully arguing that, under prevailing law, a three-year statute of limitations applies to claims under RPL § 339-l, thus rendering the contractor's claims untimely. The motion to dismiss was unanimously affirmed on appeal, thus representing a complete victory for Herrick’s client. The case is ELM Suspension Sys., Inc. v. 45 E. 33rd St. Condo., 201 A.D.3d 498 (1st Dep’t 2022).