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LLC v. New York Society of New Church

Supreme Court of New York, First Department

October 24, 2013

112 East 35th Street, LLC, Plaintiff-Respondent,
v.
The New York Society of the New Church, Defendant-Appellant.

Fryer & Ross LLP, New York (Gerald E. Ross of counsel), for appellant.

Debra J. Millman, P.C., New York (Craig F. Wilson of counsel), for respondent.

Andrias, J.P., Friedman, Acosta, DeGrasse, Freedman, JJ.

Order, Supreme Court, New York County (Marcy S. Friedman, J.), entered on or about January 9, 2012, which, after a nonjury trial, dismissed without prejudice the first cause of action, which seeks a declaration with respect to the parties' "Utilities Agreement, " and the third cause of action, which seeks money damages, and, upon the second cause of action, enjoined defendant from ceasing to provide utilities to the residential building purchased by plaintiff, unanimously modified, on the law, to reinstate the first and third causes of action, and to remand the matter for review of the Utilities Agreement pursuant to Religious Corporations Law § 12, and otherwise affirmed, without costs.

We hold that the parties' Utilities Agreement requires court approval, pursuant to Religious Corporations Law § 12(1), because it modifies the parties' previously approved Purchase Agreement (see Beacon Term. Corp. v Chemprene, Inc., 75 A.D.2d 350, 354 [2d Dept 1980], lv denied 51 N.Y.2d 706 [1980]; see also Religious Corporations Law § 12[9]).

In light of plaintiff's lack of other access to gas, steam, and electricity, we find that the injunction against defendant's termination of utilities to the residential building should remain in effect until this matter is resolved.


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