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Appeals Court Demands Sends NY Breach of Contract Case Back to Trial


Posted on Jan 01, 2016

The New York Court of Appeals recently declared that a group of contractors need to prove that they are ready, willing, and able to close a deal on property in Queens. The property, previously owned by Yoma Development Group, was sold to a third party after the group decided that the contractors were not in a position to follow through on the purchase of the property.

The Court of Appeals decided unanimously that the contractors were not in such a position, and are not to be awarded the damages they were seeking after the sale of the property until they can prove that they had the ability to finish their end of the deal by purchasing the land. The case has moved its way through the New York court system since 2008.

The Yoma Development Group says that the contractors were actually in breach of contract because they had not put themselves in a position to show that they were ready, willing, and able to purchase the land, and because they had not secured mortgages on the properties they were to develop. 

The would-be purchasers say they were left out to dry because the property had dramatically increased since a down payment was made. They assert that Yoma is making excuses so it can capitalize on the higher value. 

The Court of Appeals has sent the case back to the trial courts so the developers might be able to prove their ability to close the deal on the property and finish the contract as it was written.

Questions regarding this and other New York breach of contract cases can be directed to an experienced New York business lawyer at The Law Offices of Jonathan M. Cooper. Attorney Cooper’s free book, 3 Reasons That Your Employment Agreement May Not Be Worth The Paper It's Printed On, is available to order online.

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