The case of B* B* R* Corp. v. C. centers on a dispute over a real estate brokerage commission, with allegations of breach of contract at its core. The plaintiff entered into an exclusive agency agreement with the defendant to facilitate the sale of residential property in Brooklyn. The plaintiff contended that it had secured a ready, willing, and able buyer for the property at $1,500,000, but C refused to finalize the sale. Ultimately, C sold the property to the same buyer for a higher price—$1,805,000—without compensating the plaintiff.
The defendant sought dismissal of the breach of contract claim under CPLR 3211(a)(1), arguing that the documentary evidence demonstrated the buyer lacked financial capacity to purchase the property at the original price. However, the plaintiff countered this assertion with documentation, including a signed contract of sale for the buyer's own home, suggesting that the buyer did possess financial means. The Appellate Division, Second Department, ruled that the submitted evidence did not definitively resolve factual disputes regarding the buyer’s financial ability, thereby preventing dismissal of the breach of contract claim.
And while the plaintiff had moved for summary judgment on the complaint, the court denied the motion, citing procedural rules that require issue to be joined -- an answer to be filed -- before a summary judgment motion may proceed. Since the plaintiff's motion was filed prematurely, it was barred from securing summary judgment.
This case underscores several key legal principles, including the importance of documentary evidence in establishing dispositive defenses and the procedural requirements surrounding summary judgment motions. Moreover, it highlights the complexities of commission disputes in real estate transactions and the legal obligations of parties in exclusive brokerage agreements. Ultimately, the court's decision preserved the plaintiff’s opportunity to litigate its breach of contract claim while enforcing procedural requirements that ensure fair judicial process.
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DECISION