HEALTHWAVE INCORPORATED v. NEW YORK SOCIETY FOR THE RELIEF OF THE RUPTURED AND CRIPPLED MAINTAINING THE HOSPITAL FOR SPECIAL SURGERY

8252, 650234/09.

99 A.D.3d 494 (2012)

952 N.Y.S.2d 504

2012 NY Slip Op 6761

HEALTHWAVE INCORPORATED et al., Respondents, v. NEW YORK SOCIETY FOR THE RELIEF OF THE RUPTURED AND CRIPPLED MAINTAINING THE HOSPITAL FOR SPECIAL SURGERY, Doing Business as HOSPITAL FOR SPECIAL SURGERY, et al., Defendants, and JOHN R. REYNOLDS, Appellant.

Appellate Division of the Supreme Court of New York, First Department.

October 9, 2012.


Dismissal of the fraudulent inducement claim as against Reynolds was not warranted at this stage of the litigation. The record shows that plaintiffs raised the inference that their exercise of reasonable diligence was fruitless under the circumstances by alleging that defendants' fraudulent conduct was not readily apparent and could not have been discovered through ordinary intelligence based upon a review of the available documents (see e.g. Madison Apparel Group Ltd...

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