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BOARD OF MGRS. OF SOUTH STAR v. WSA EQUITIES, LLC

1346, 159128/12.

140 A.D.3d 405 (2016)

30 N.Y.S.3d 876

2016 NY Slip Op 04301

BOARD OF MANAGERS OF THE SOUTH STAR, Respondent, v. WSA EQUITIES, LLC, et al., Appellants, et al., Defendants.

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

Decided June 2, 2016.

The Martin Act (General Business Law § 352-c) does not bar a common-law breach of contract claim (885 W.E. Residents Corp. v Coronet Props. Co., 220 A.D.2d 305 [1st Dept 1995]).

To the extent the fraud claim is based on omissions in the offering plan (e.g. paragraph 121 of the complaint), it is barred by the Martin Act (see e.g. Kerusa Co. LLC v W10Z/515 Real Estate Ltd. Partnership, 12 N.Y.3d...

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