You are here: / / Fraud Cause of Action Seeking Only Lost Profits as Damages Must Be Dis...

Fraud Cause of Action Seeking Only Lost Profits as Damages Must Be Dismissed

The Third Department determined that plaintiff’s fraud cause of action could not go forward because plaintiff sought only lost profits as damages.  Also dismissed and briefly discussed were “conspiracy to commit fraud (not a valid separate cause of action),” prima facie tort and a demand for punitive damages:

Plaintiff’s cause of action alleging fraud requires “a misrepresentation or omission of a material fact known to be false and made with the intent to deceive, as well as justifiable reliance and damages” … . * * * “The true measure of damage [for fraud] is indemnity for the actual pecuniary loss sustained as the direct result of the wrong or what is known as the out-of-pocket rule” … . Damages for fraudulent acts should “compensate plaintiffs for what they lost because of the fraud, not for what they might have gained” … . As plaintiff does not dispute that it seeks only the lost profit it anticipated earning as a result of conveying the property to BLP, defendants are entitled to summary judgment dismissing the first cause of action … .

Plaintiff’s second cause of action alleging a conspiracy to commit fraud must also be dismissed because “‘a mere conspiracy to commit a [tort] is never of itself a cause of action'” … . Plaintiff’s third cause of action for prima facie tort “requires a showing of an intentional infliction of harm, without excuse or justification, by an act or series of acts that would otherwise be lawful” … . Significantly, “[s]uch acts must be motivated solely by malevolence” … . Plaintiff … makes no claim that defendants were motivated — even in part — by malevolence. As for plaintiff’s fourth cause of action for declaratory relief, it too must be dismissed as entirely unnecessary under the circumstances here … .

Nor, in light of our determination that plaintiff failed to establish its causes of action for fraud and prima facie tort, is this a case for punitive damages. There is no basis upon which to conclude that defendants’ conduct “‘evince[s] a high degree of moral turpitude and demonstrate[s] such wanton dishonesty as to imply a criminal indifference to civil obligations'” … . Route 217, LLC v Greeg, 2014 NY Slip Op 04998, 3rd Dept 7-3-14

 

You might also like
NURSE PROVIDING HOME HEALTH CARE SERVICES WAS AN EMPLOYEE ENTITLED TO BENEFITS (THIRD DEPT).
Court Has Common-Law “Interest of Justice” Authority to Modify Its Own Order and/or a Stipulation Entered Into During Litigation
Contract Merged with the Deed and Any Rights Afforded Purchaser by the Uniform Vendor and Purchaser Risk Act Were Extinguished Upon Transfer of Title
PLAINTIFF’S ATTEMPT TO AMEND THE COMPLAINT TO ADD A PARTY INITIALLY NAMED AS JOHN DOE TIME-BARRED (THIRD DEPT).
TERMINATION OF MOTHER’S SUPERVISED VISITATION IS A “DRASTIC REMEDY” WHICH MUST BE SUPPORTED BY “SUBSTANTIAL PROOF” CONTINUED VISITATION “WOULD BE HARMFUL TO THE CHILD;” THE PROOF HERE DID NOT MEET THOSE CRITERIA (THIRD DEPT). ​
THE PEOPLE DID NOT DEMONSTRATE THE MIRANDA WARNINGS WERE READ TO DEFENDANT BEFORE HE WAS QUESTIONED; GUILTY PLEA VACATED; THERE WAS NO PROOF DEFENDANT WOULD HAVE PLED GUILTY IF SUPPRESSION HAD BEEN GRANTED, THEREFORE THE HARMLESS ERROR ANALYSIS WAS NOT APPLICABLE (THIRD DEPT).
Safety Regulation Asserted to Be the Basis of the Labor Law 241 (6) Cause of Action Did Not Apply to the Defect Which Caused the Injury
MOTHER ENTITLED TO HEARING ON HER PRO SE PETITION TO MODIFY A CUSTODY AWARD; FATHER SHOULD NOT HAVE BEEN GIVEN COMPLETE CONTROL OVER MOTHER’S VISITATION; ATTORNEY SHOULD HAVE BEEN APPOINTED FOR THE CHILDREN.

Categories

Sign Up for the Mailing List to Be Notified When the Site Is Updated.

  • This field is for validation purposes and should be left unchanged.

Copyright © 2025 New York Appellate Digest, Inc.
Site by CurlyHost | Privacy Policy

Adverse Possession Criteria Explained Plaintiffs Could Not Demonstrate the Alleged Malpractice Was Proximate Cause...