1250 Broadway, 27th Floor New York, NY 10001



After a New York County Supreme Court Justice found Stefan Malter, and others, personally liable under a lease guaranty, the latter appealed to the Appellate Division, First Department, contending that relief in the landlord’s favor – on a motion for summary judgment – was inappropriately granted.

But the AD1 didn’t agree. Since the guaranty in this case was “absolute and unconditional,” the landlord wasn’t required to go after the tenant. It was free to sue any guarantor(s), should it be so inclined. And that’s what happened here.

As the AD1 noted:

“Here, it is undisputed that defendant guarantors were parties to an ‘absolute and unconditional’ guaranty. Furthermore, it is undisputed that, per the terms of the lease, defendant guarantors can be held liable for damages …. The only issue is the amount, if any, of damages under each cause of action for which they can be held liable.”

I guarantee they weren’t happy with that result.

# # #

Epic W14 LLC v Malter