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Classic Automobiles, Inc. v. Oxford Resources Corp.

Appellate Division of the Supreme Court of New York, First Department
May 24, 1994
204 A.D.2d 209 (N.Y. App. Div. 1994)

Summary

stating that New York "allows counterclaims to be raised through separate litigation ... as long as a party defendant does not remain silent in one action, then bring a second suit on the basis of a pre-existing claim for relief that would impair the rights or interests established in the first action"

Summary of this case from Nat'l Air Cargo Grp. v. Maersk Line Ltd.

Opinion

May 24, 1994

Appeal from the Supreme Court, New York County (Walter M. Schackman, J.).


The doctrine of res judicata did not bar plaintiff's right to sue for return of its $11,349 payment in the instant case, where it had failed to include a counterclaim for money damages in a prior lawsuit involving the same transaction, an exchange of two automobiles. New York's permissive counterclaim rule allows counterclaims to be raised through separate litigation even if interposed as a defense in prior litigation, as long as a party defendant does not remain silent in one action, then bring a second suit on the basis of a pre-existing claim for relief that would impair the rights or interests established in the first action (Batavia Kill Watershed Dist. v. Charles O. Desch, Inc., 83 A.D.2d 97, 100, affd 57 N.Y.2d 796; Modell Co. v. Minister of Refm. Prot. Dutch Church, 68 N.Y.2d 456, 461). It does not appear that allowing plaintiff's claim for a money judgment to proceed to disposition on the merits will upset any right or interest of either party.

Concur — Carro, J.P., Kupferman, Asch, Nardelli and Williams, JJ.


Summaries of

Classic Automobiles, Inc. v. Oxford Resources Corp.

Appellate Division of the Supreme Court of New York, First Department
May 24, 1994
204 A.D.2d 209 (N.Y. App. Div. 1994)

stating that New York "allows counterclaims to be raised through separate litigation ... as long as a party defendant does not remain silent in one action, then bring a second suit on the basis of a pre-existing claim for relief that would impair the rights or interests established in the first action"

Summary of this case from Nat'l Air Cargo Grp. v. Maersk Line Ltd.

stating that New York "allows counterclaims to be raised through separate litigation ..., as long as a party defendant does not remain silent in one action, then bring a second suit on the basis of a pre-existing claim for relief that would impair the rights or interests established in the first action"

Summary of this case from Clean Coal Techs., Inc. v. Leidos, Inc.

In Classic Autos. v Oxford Resources Corp. (204 AD2d 209 [1st Dept 1994]), "[t]he doctrine of res judicata did not bar plaintiff's right to sue for return of its [] payment... where it had failed to include a counterclaim for money damages in a prior lawsuit involving the same transaction... [and] allowing plaintiff's claim... to proceed to disposition on the merits will [not] upset any right or interest of either party" (id. at 209-210).

Summary of this case from Paramount Pictures Corp. v. Allianz Risk Transfer AG
Case details for

Classic Automobiles, Inc. v. Oxford Resources Corp.

Case Details

Full title:CLASSIC AUTOMOBILES, INC., Appellant, v. OXFORD RESOURCES CORP., Respondent

Court:Appellate Division of the Supreme Court of New York, First Department

Date published: May 24, 1994

Citations

204 A.D.2d 209 (N.Y. App. Div. 1994)
612 N.Y.S.2d 32

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