CERTAIN ASPECTS OF PLAINTIFF’S QUANTUM MERUIT AND UNJUST ENRICHMENT CAUSES OF ACTION PROPERLY SURVIVED A MOTION TO DISMISS, OTHER ASPECTS WERE BARRED BY THE STATUTE OF FRAUDS.
The First Department, in a full-fledged opinion by Justice Renwick, with extensive analysis of the “negotiation or consummation of a business opportunity” aspect of the statute of frauds (General Obligations Law 5-701(a)(10)), determined certain aspects of plaintiff’s unjust enrichment and quantum meruit causes of actions properly survived defendants’ motion to dismiss. Plaintiff alleged he supplied information and know-how which led to defendants’ creation and operation of a highly successful website which facilitates finding and renting apartments. The aspects of plaintiff’s causes of action which stemmed from “negotiating or consummating the business opportunity” were barred by the statute of frauds. But the aspects related to plaintiff’s assistance in the success of the on-going business were not barred by the statute of frauds. The opinion includes a detailed discussion of the limits of the “writing” requirement for any agreement to “negotiate or consummate a business opportunity:”
In the present case, the amended complaint contains allegations that, if accepted by the trier of fact, demonstrate that plaintiff’s role consisted of more than functioning as an intermediary that assisted in the negotiation or consummation of the business opportunity. Rather, [plaintiff] allegedly rendered a wide variety of services, which presumably took place after the company came to fruition, making these services related to a purpose other than “assisting in the negotiation or consummation” of a business opportunity, so as to escape the strictures of General Obligations Law 5-701(a)(10). Dorfman v Reffkin, 2016 NY Slip Op 06116, 1st Dept 9-21-16
CONTRACT LAW (CERTAIN ASPECTS OF PLAINTIFF’S QUANTUM MERUIT AND UNJUST ENRICHMENT CAUSES OF ACTION PROPERLY SURVIVED A MOTION TO DISMISS, OTHER ASPECTS WERE BARRED BY THE STATUTE OF FRAUDS)/STATUTE OF FRAUDS (NEGOTIATION OR CONSUMMATION OF A BUSINESS OPPORTUNITY, CERTAIN ASPECTS OF PLAINTIFF’S QUANTUM MERUIT AND UNJUST ENRICHMENT CAUSES OF ACTION PROPERLY SURVIVED A MOTION TO DISMISS, OTHER ASPECTS WERE BARRED BY THE STATUTE OF FRAUDS)/GENERAL OBLIGATIONS LAW (STATUTE OF FRAUDS, NEGOTIATION OR CONSUMMATION OF A BUSINESS OPPORTUNITY, CERTAIN ASPECTS OF PLAINTIFF’S QUANTUM MERUIT AND UNJUST ENRICHMENT CAUSES OF ACTION PROPERLY SURVIVED A MOTION TO DISMISS, OTHER ASPECTS WERE BARRED BY THE STATUTE OF FRAUDS)/NEGOTIATION OR CONSUMMATION OF A BUSINESS OPPORTUNITY (STATUTE OF FRAUDS, NEGOTIATION OR CONSUMMATION OF A BUSINESS OPPORTUNITY, CERTAIN ASPECTS OF PLAINTIFF’S QUANTUM MERUIT AND UNJUST ENRICHMENT CAUSES OF ACTION PROPERLY SURVIVED A MOTION TO DISMISS, OTHER ASPECTS WERE BARRED BY THE STATUTE OF FRAUDS)/QUANTUM MERUIT (CERTAIN ASPECTS OF PLAINTIFF’S QUANTUM MERUIT AND UNJUST ENRICHMENT CAUSES OF ACTION PROPERLY SURVIVED A MOTION TO DISMISS, OTHER ASPECTS WERE BARRED BY THE STATUTE OF FRAUDS)/UNJUST ENRICHMENT (CERTAIN ASPECTS OF PLAINTIFF’S QUANTUM MERUIT AND UNJUST ENRICHMENT CAUSES OF ACTION PROPERLY SURVIVED A MOTION TO DISMISS, OTHER ASPECTS WERE BARRED BY THE STATUTE OF FRAUDS)