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Walter Arnstein, Inc. v. AX Trading Grp.

Supreme Court of New York, First Department
Jun 29, 2023
217 A.D.3d 644 (N.Y. App. Div. 2023)

Opinion

594 Index No. 654254/19 Case No. 2022–02341

06-29-2023

WALTER ARNSTEIN, INC., Plaintiff–Respondent, v. AX TRADING GROUP, INC., et al., Defendants–Appellants.

Catherine P. McGovern, Bronx, for appellants. Abrams Fensterman LLP, Brooklyn (Zachary D. Kuperman of counsel), for respondent.


Catherine P. McGovern, Bronx, for appellants.

Abrams Fensterman LLP, Brooklyn (Zachary D. Kuperman of counsel), for respondent.

Kern, J.P., Moulton, Mendez, Shulman, Rodriguez, JJ.

Order, Supreme Court, New York County (Louis L. Nock, J.), entered October 28, 2021, which, insofar as appealed from, granted in part plaintiff's motion for summary judgment against defendants as to liability on its breach of contract and breach of a guaranty claims to the extent of the alleged unpaid real estate taxes, porter wage escalation charges, late fees and a cleaning fee due pursuant to the terms of the parties' sublease agreement, unanimously affirmed, without costs.

Plaintiff sublessor's evidence established its prima facie entitlement to partial summary judgment on the aforementioned claims. The 2008 and 2009 overlease modifications expressly provided that the overlease terms were to apply to the leased commercial space. The parties' sublease provided that the corporate defendant, as sublessee, was to assume all plaintiff-tenant's obligations under the overlease, as modified. The sublease further provided that "wherever the term ‘Tenant’ occurs in the Underlying Lease, the same shall be deemed to refer to [the corporate defendant]." The overlease obligated plaintiff to pay specified percentages of the real estate taxes and porter wage escalation charges, plus any late fees and fees necessary to clean the premises upon the corporate defendants vacating. Pursuant to the guaranty, Victor Angermuller, the corporate defendant's principal, "unconditionally guarantee[d] ... the full and punctual payment ... of all fixed rent and additional rent and such other sums payable by [corporate defendant] under the [s]ublease." Defendants do not challenge the authenticity of the agreements in question. The pertinent language in the agreements is clear, complete and unequivocal, and warrants they be enforced in accordance with their terms (see generally W.W.W. Assoc. v. Giancontieri, 77 N.Y.2d 157, 162, 565 N.Y.S.2d 440, 566 N.E.2d 639 [1990] ; see also Rubin v. Leshner, 36 A.D.3d 473, 474, 829 N.Y.S.2d 36 [1st Dept. 2007] ).

In opposition, defendants failed to point to any language in the overlease, its modifications or the sublease that excepted the corporate defendant from having to pay the abovementioned charges and fees. To the extent defendants argue that when plaintiff failed to serve defendants with notices of default or seek to collect on late fees and other charges accrued as specified herein until such time as the instant action was commenced, this amounted to a waiver or modification of the terms of the parties' sublease agreement, that argument is unavailing given the unambiguous no waiver and no oral modification provisions in the subject agreements (see generally 457 Madison Ave. Corp. v. Lederer De Paris, Inc., 51 A.D.3d 579, 859 N.Y.S.2d 135 [1st Dept. 2008] ).

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


Summaries of

Walter Arnstein, Inc. v. AX Trading Grp.

Supreme Court of New York, First Department
Jun 29, 2023
217 A.D.3d 644 (N.Y. App. Div. 2023)
Case details for

Walter Arnstein, Inc. v. AX Trading Grp.

Case Details

Full title:Walter Arnstein, Inc., Plaintiff-Respondent, v. AX Trading Group, Inc., et…

Court:Supreme Court of New York, First Department

Date published: Jun 29, 2023

Citations

217 A.D.3d 644 (N.Y. App. Div. 2023)
194 N.Y.S.3d 203
2023 N.Y. Slip Op. 3564

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