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Royal Equities Operating, LLC v. Rubin

Supreme Court, Appellate Division, First Department, New York.
Oct 17, 2017
154 A.D.3d 516 (N.Y. App. Div. 2017)

Opinion

4131, 653201/16.

10-17-2017

ROYAL EQUITIES OPERATING, LLC, Plaintiff–Appellant, v. Joshua D. RUBIN, et al., Defendants–Respondents.

Rosenberg & Estis, P.C., New York (Jeffrey Turkel of counsel), for appellant. The Shell Law Firm, PLLC, New York (Martin Shell of counsel), for respondents.


Rosenberg & Estis, P.C., New York (Jeffrey Turkel of counsel), for appellant.

The Shell Law Firm, PLLC, New York (Martin Shell of counsel), for respondents.

ACOSTA, P.J., FRIEDMAN, ANDRIAS, WEBBER, GESMER, JJ.

Order, Supreme Court, New York County (Debra A. James, J.), entered December 13, 2016, which, to the extent appealed from as limited by the briefs, denied plaintiff's CPLR 3213 motion for summary judgment in lieu of complaint in the amount of $1,740,818.60, plus interest and attorney's fees, unanimously reversed, on the law, without costs, the motion granted, and the matter remanded for a hearing on the amount of reasonable attorney's fees to be awarded. The Clerk is directed to enter judgment in the sum of $1,740,818.60, with interest.

In moving for summary judgment in lieu of complaint to enforce absolute and unconditional guarantees on a commercial lease, plaintiff made a prima facie showing of the tenant's default and the amount owed—$1,740,818.60—under the lease's accelerated rent provision. In opposition, the guarantor defendants failed to refute plaintiff's calculations as to the amount owed, or challenge any specific line-item on the ledger submitted by plaintiff, entitling plaintiff to summary judgment as to the amount of damages ( Moon 170 Mercer, Inc. v. Vella, 146 A.D.3d 537, 538, 45 N.Y.S.3d 415 [1st Dept.2017] ). Defendants' nonspecific argument that plaintiff's calculations were flawed and uncertain is conclusory, and insufficient to raise a triable issue (see Banco Popular N. Am. v. Victory Taxi Mgt., 1 N.Y.3d 381, 383–384, 774 N.Y.S.2d 480, 806 N.E.2d 488 [2004] ). Further, defendants' claim that rent could not be accelerated because the premises had been re-let was properly rejected by the motion court, as defendants are foreclosed from raising all defenses which are personal to the obligor tenant, except a failure of consideration, which does not apply here, since it is conceded that the tenant is still in possession (see I Bldg, Inc. v. Hong Mei Cheung, 137 A.D.3d 478, 26 N.Y.S.3d 463 [1st Dept.2016] ). As guarantors who expressly waived all rights and remedies generally accorded under law, defendants' liability can be greater than that of the obligor tenant, as the lease and guaranties were separate undertakings, and the latter are enforceable without qualification or reservation (see Raven El. Corp. v. Finkelstein, 223 A.D.2d 378, 636 N.Y.S.2d 292 [1st Dept.1996], lv. dismissed 88 N.Y.2d 1016, 649 N.Y.S.2d 382, 672 N.E.2d 608 [1996] ).

We have considered defendants' remaining arguments and find them unavailing.

The Decision and Order of this Court entered herein on May 30, 2017 is hereby recalled and vacated (see M–4290 decided simultaneously herewith).


Summaries of

Royal Equities Operating, LLC v. Rubin

Supreme Court, Appellate Division, First Department, New York.
Oct 17, 2017
154 A.D.3d 516 (N.Y. App. Div. 2017)
Case details for

Royal Equities Operating, LLC v. Rubin

Case Details

Full title:ROYAL EQUITIES OPERATING, LLC, Plaintiff–Appellant, v. Joshua D. RUBIN, et…

Court:Supreme Court, Appellate Division, First Department, New York.

Date published: Oct 17, 2017

Citations

154 A.D.3d 516 (N.Y. App. Div. 2017)
62 N.Y.S.3d 337
2017 N.Y. Slip Op. 7212

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