Matter of Crosstown Operating Corp.

Full title: In the Matter of Arbitration between CROSSTOWN OPERATING CORP., Appellant…

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

Date published: Mar 30, 1993

191 A.D.2d 384 (N.Y. App. Div. 1993)

595 N.Y.S.2d 445

Opinion

March 30, 1993

Appeal from the Supreme Court, New York County (Karla Moskowitz, J.).

We agree with the IAS Court that on the facts of the case, the public policy against illegal gambling outweighs the public policy in favor of voluntary arbitration (see, Matter of Neirs-Folkes, Inc. [Drake Ins. Co.], 75 A.D.2d 787, affd for other reasons 53 N.Y.2d 1038; see also, Harris v. Economic Opportunity Commn., 171 A.D.2d 223), and that, accordingly, to the extent the award includes breach of contract damages for revenues derived from Joker Poker, an illegal gambling device, it is violative of public policy and should not be judicially enforced (see, Garrity v. Lyle Stuart, Inc., 40 N.Y.2d 354). We have considered petitioner's remaining arguments and find them without merit.

Concur — Murphy, P.J., Milonas, Ross and Asch, JJ.