Our Firm, an expert in commercial real estate litigation, achieved a remarkable win in a protracted legal battle for our client, a prominent 5th Avenue commercial landlord. The Second Circuit Court of Appeals upheld District Court judgments, granting our client over $4.1MM, along with attorneys’ fees. Additionally, the Circuit Court ruling secured an impressive $959,116.22 in rent arrears and attorneys’ fees awarded by the District Court. This monumental ruling not only ensures the recovery of substantial rent arrears but also reinforces the importance of the broad waiver of defenses provision contained in the lease guarantor’s agreement.
Overcoming Lease Guarantor’s Arguments
The lease guarantor attempted to argue that its liability was released due to a non-debtor third party release mentioned in the tenant’s bankruptcy plan. However, the Circuit Court firmly rejected these claims, asserting that the guarantor’s broad waiver of defenses provision, outlined in the guaranty agreement, barred the use of the release defense. This pivotal ruling affirms the critical role of a well-drafted guaranty agreement and highlights the expertise of our Firm in navigating complex commercial lease disputes.
Significant Judgement for Commercial Landlord
The affirmance by the Second Circuit Court of Appeals clears the path for Belkin · Burden · Goldman’s client to collect bonded judgments exceeding $5MM. This outcome is a testament to the strategic approach and legal acumen of the entire commercial real estate litigation team, which comprised Jay Solomon, Israel Katz, and Brian Bendy.
Conclusion
This triumph stands as a testament to our unrivaled expertise and dedication to our clients. Congratulations to the entire commercial real estate litigation team for their outstanding work and this significant victory on behalf of their client.
