In an August 2, 2010 decision by Justice Bransten, the court denied the plaintiff’s motion pursuant to CPLR § 3025 for leave to amend the complaint a second time to add new parties and causes of action. The plaintiff sought to add a claim under the New York Judiciary Law § 487 against the defendants’ prior counsel based on allegations that the attorney made false statements and presented false witness testimony to the court. In denying the motion, the court found that the attorney presented the court with the facts as he knew them and answered questions at a deposition concerning those facts, which did not constitute a pattern of delinquent behavior or a single instance of delinquent behavior so egregious as to give rise to liability under the Judiciary Law. The court also denied a claim against the defendants’ current counsel which was based on an assertion that they intentionally withheld information and submitted false testimony concerning the defendant’s knowledge a line of credit. The court found that the defendants’ assertions did not go toward their knowledge of the line of credit, but rather the purported failure to disclose. The court also denied that portion of the motion because permitting the plaintiff to proceed with those claims would require the current counsel to withdraw, as required under the Code of Professional Responsibility, and, therefore, prejudice the defendants by denying them the right to counsel of their choice.
360 w. 11th St. lLC v ACG Credit Co. II, LLC, Sup Ct NY County, August 2, 2010, Bransten, J, Index No. 600141/07.