Marc Marinoff, Appellant, v Natty Realty Corp., Respondent.
Aрpellate Division of the Supreme Court of New York, Second Department
826 N.Y.S.2d 113
Ordered that the order is affirmed, with costs.
In December 2002 the plaintiff (hereinafter the purchaser) entered into a cоntract to purchase certain fire-damaged commercial property located in Queens County (hereinafter premises) from the defendant (hereinafter the seller) for the sum of $588,000. The contrаct provided that “due to fire damage to the premises Purchaser will be required to perform reрairs and renovations to the premises,” but no work would be commenced before the closing of title without the written consent of the seller. The contract further provided that the seller was not required to spend any money to cure violations. The contract stated that any losses incurred by destruction, damage or condemnation while the contract was pending were governed by
The purchaser‘s attorney acknowledged at the trial that on February 6, 2003 he received notice from the seller that there was a hearing in the Supreme Court, Queens County, with respect to unsafe building violations on the premises. The purchaser was represented at the hearing on the violations but the Supreme Court found that thе purchaser had no standing to appear in the matter or to request any relief. On February 19, 2003 the Supreme Court issued an order directing the Superintendent of Buildings to make the premises safe by demolishing “unused spаces to grade and remov[ing] all debris from site.”
At the trial, the seller‘s president testified that he asked the purchaser to perform repairs to avert demolition, but the purchaser refused to perform any work until title was transferred to him. The seller‘s president further testified that the Department of Buildings would not acсept applications for permits filed by the purchaser because there were discrepancies in the purchaser‘s contractor‘s license or insurance policy. Therefore the seller entered into a contract with Rankin Construction to repair the premises for the sum of $120,000.
The seller refused to deliver title to the purchaser until it was
Although an appellate cоurt‘s authority in reviewing a nonjury determination is as broad as that of the trial court, due deference is given to the trial court‘s determination, taking into account that in a close case the trial judge has the аdvantage of seeing and hearing the witnesses (see Healy v Williams, 30 AD3d 466, 468 [2006]). The determination of whether to grant or deny the equitable remedy of specific performance lies within the discretion of the court and the right to such relief is not automatic (see Sokoloff v Harriman Estates Dev. Corp., 96 NY2d 409, 415 [2001]; McGinnis v Cowhey, 24 AD3d 629 [2005]). Indeed, a court may deny specific performance where the grant of such remedy would result in “unreasonable hardship or injustice” (id. at 629). Here, the Supreme Court prоvidently exercised its discretion in determining that an award of specific performance would have resulted in undue hardship or injustice to the seller.
The purchaser contends that the order dated Februаry 19, 2003 directing demolition was analogous to a destruction or taking by eminent domain to which
The evidence adduced at the trial established that the seller, confronted with a dilemma, cоnsulted with the purchaser and proceeded with the repairs on its own only after ascertaining that it had no other alternative to protect its property against a loss in value.
The purchaser, on the other hand, sought to compel the seller to convey a renovated premises at the оriginal purchase price for a fire-damaged premises. Requiring the seller to absorb the cost of repairs was contrary to the explicit terms of the contract.
In view of the foregoing, the Supreme Court properly denied the purchaser specific performance and limited its recovery to
