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City’s Possession of Property Seized Upon Arrest, But Which Was No Longer Needed by the People in Connection with the Case, Was Held by the City as a Bailee—the Bailment Did Not Originate in a Contractual Relationship—Therefore the One-Year-Ninety-Days General Municipal Law Statute of Limitations, Not the Six-Year Contract Statute of Limitations, Applied—Action Was Time-Barred

The Second Department, in a full-fledged opinion by Justice Leventhal, determined that the City was a bailee with respect to its possession of defendant’s computers seized upon defendant’s arrest.  When the district attorney determined the computers were no longer needed in connection with defendant’s case, defendant was told he could pick them up.  When the defendant attempted to do so, he was told the computers had been destroyed.  The defendant then sued the city under a bailment theory.  The suit was timely if the six-year statute of limitations for contract actions applied, but untimely if the one-year-90-days statute of limitations in the General Municipal Law applied.  The court determined that the bailment did not result from a contractual relationship (seizure upon arrest).  Therefore the General Municipal Law statute of limitations for actions against the city alleging negligent damage to property applied and the action was time-barred:

Here, the evidence submitted by the City in support of its motion established, prima facie, that the claim between the parties did not originate by virtue of a contractual relationship. The City took control of the plaintiff’s property only in connection with his arrest. Hence, … it cannot be said that the liability alleged by the plaintiff in the complaint “had its genesis in [a] contractual relationship of the parties” … . “A contract cannot be implied in fact where the facts are inconsistent with its existence” … . While the City’s act of taking possession of the plaintiff’s personal property created a bailment, it has been recognized that a bailment does not necessarily and always arise from a contractual relationship … . Thus, as General Municipal Law § 50-i(1) applies to all causes of action against the City seeking to recover damages for injury to property because of negligence or a wrongful act, and the complaint asserts that the City destroyed the plaintiff’s property, the 1-year-and-90-day statute of limitations, not the 6-year limitations period, applies to this action. Wikiert v City of New York, 2015 NY Slip Op 02960, 2nd Dept 4-8-14

 

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