From Casetext: Smarter Legal Research

Silverite Construction Co. v. Facilities Development Corp.

Appellate Division of the Supreme Court of New York, Third Department
Apr 4, 1991
172 A.D.2d 922 (N.Y. App. Div. 1991)

Opinion

April 4, 1991

Appeal from the Supreme Court, Albany County (Hughes, J.).


Plaintiff and defendant contracted to have the former construct the Dutchess County Jail and Sheriff's Department project in the City of Poughkeepsie. Contractual disputes arose between the parties and plaintiff commenced this action claiming defendant's breach of their contract. Defendant submitted an answer which included the affirmative defense that it had been released from all contractual claims because of plaintiff's failure to timely file a notice of claim after defendant mailed the final payment check. Plaintiff subsequently moved for, inter alia, summary judgment dismissing the third affirmative defense, alleging that no final payment by defendant had been made. Supreme Court denied the motion and this appeal by plaintiff followed.

We affirm. The sole issue herein is the existence of factual questions regarding whether plaintiff received sufficient notice that payment tendered by defendant constituted final payment due under the construction contract such as to effectively release defendant from any claim by plaintiff made thereunder (see, Brandt Corp. v. City of New York, 14 N.Y.2d 217; Buffalo Elec. Co. v. State of New York, 14 N.Y.2d 453).

The record demonstrates that plaintiff twice requested "final payment" on the contract in the amount of $123,256.17. Defendant thereafter sent plaintiff a check for $48,256.17, which plaintiff promptly deposited. The record also demonstrates that plaintiff sought and received the full remainder of securities posted for the project. In support of its motion, plaintiff argued that it first learned that defendant considered the $48,256.17 to be final upon defendant's asserting same in its answer to this lawsuit. In opposition, defendant submitted the affidavit of one of its employees stating that it notified plaintiff that $75,000 of its request for final payment was being deducted as liquidated damages resulting in what defendant now claims was a final payment of $48,256.17. In our view, defendant has raised sufficient questions of fact to defeat plaintiff's motion (see, Zuckerman v. City of New York, 49 N.Y.2d 557). We find that issues have been raised as to whether the circumstances as presented in the record demonstrate that plaintiff was aware that the check for $48,256.17 might be a final payment (cf., Dalrymple Gravel Contr. Co. v. State of New York, 23 A.D.2d 418, 420, affd 19 N.Y.2d 644), particularly in light of defendant's claim that it notified plaintiff of its deduction of $75,000 from plaintiff's final payment request of $123,256.17.

Order affirmed, without costs. Mahoney, P.J., Casey, Levine, Mercure and Harvey, JJ., concur.


Summaries of

Silverite Construction Co. v. Facilities Development Corp.

Appellate Division of the Supreme Court of New York, Third Department
Apr 4, 1991
172 A.D.2d 922 (N.Y. App. Div. 1991)
Case details for

Silverite Construction Co. v. Facilities Development Corp.

Case Details

Full title:SILVERITE CONSTRUCTION COMPANY, INC., Appellant, v. FACILITIES DEVELOPMENT…

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

Date published: Apr 4, 1991

Citations

172 A.D.2d 922 (N.Y. App. Div. 1991)
568 N.Y.S.2d 207

Citing Cases

J a Bayly Const. Co. v. Castleton-On-Hudson

Plaintiff maintains that this inference cannot be drawn since the record indicates that it intended to seek…