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Parham v. Congress Talcott Corporation

Appellate Division of the Supreme Court of New York, First Department
Sep 21, 1995
219 A.D.2d 522 (N.Y. App. Div. 1995)

Opinion

September 21, 1995

Appeal from the Supreme Court, New York County (Richard B. Lowe, III, J.).


Plaintiff provided defendant factor with cash collateral to secure his guarantee of his corporation's obligations to defendant. Seeking to recover the cost of vacating an attachment that another of defendant's customers was able to obtain after it was informed by defendant of the closing of plaintiff's company and the bank accounts into which plaintiff had deposited a partial return of the cash collateral, plaintiff alleges that defendant owed it a fiduciary duty to keep information concerning its finances confidential. Assuming, as plaintiff argues, that such a duty of confidentiality is owed by a bank to its depositors ( cf., Boccardo v Citibank, 152 Misc.2d 1012, 1014-1015), the agency-like aspects of such a relationship are absent here, and we agree with the IAS Court that the parties' relationship was more akin to that of guarantor and lender involving no such duty of confidentiality ( see, Bank Leumi Trust Co. v Block 3102 Corp., 180 A.D.2d 588, 589, lv denied 80 N.Y.2d 754).

Concur — Wallach, J.P., Kupferman, Ross, Nardelli and Tom, JJ.


Summaries of

Parham v. Congress Talcott Corporation

Appellate Division of the Supreme Court of New York, First Department
Sep 21, 1995
219 A.D.2d 522 (N.Y. App. Div. 1995)
Case details for

Parham v. Congress Talcott Corporation

Case Details

Full title:PATRICK PARHAM, Appellant, v. CONGRESS TALCOTT CORPORATION, Respondent

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

Date published: Sep 21, 1995

Citations

219 A.D.2d 522 (N.Y. App. Div. 1995)
631 N.Y.S.2d 671