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Empire Industrial Sys. v. North-Eastern Bank

Appellate Division of the Supreme Court of New York, Second Department
Nov 14, 1988
144 A.D.2d 429 (N.Y. App. Div. 1988)

Opinion

November 14, 1988

Appeal from the Supreme Court, Nassau County (Wager, J.).


Ordered that the judgment is affirmed, with costs.

The record establishes that, through a sale-lease-back agreement, the plaintiff obtained approximately $65,000, and obligated itself to make certain lease payments which were personally guaranteed by the plaintiff's president Edward Roufberg. Both the agreement and guarantee authorized assignment without notice, and formal assignment of the agreement to the defendant bank took place almost immediately upon its execution. Delivery of the guarantee to the defendant bank took place simultaneously with the delivery to it of the agreement, the assignment and other documents involved in the transaction. The plaintiff then made payments due pursuant to the agreement directly to the defendant bank, but some two years after the original transaction, commenced this action for a declaration canceling the indebtedness. The defendant bank counterclaimed for the balance due pursuant to the agreement and successfully moved for summary judgment against both the plaintiff and Edward Roufberg.

On appeal, the plaintiff and Edward Roufberg have abandoned their arguments made before the Supreme Court that questions of fact exist as to their liability because of lack of privity, because of some inconsistencies in tangential documents, and because of the defendant bank's possible fraud. The sole challenges made on appeal are that the "authenticity" of the assignment of the agreement has not been established and that there is no proof of written assignment of the guarantee. However, these arguments were not advanced before the Supreme Court and may not be asserted for the first time on appeal (see, Rohdie v. Michael Guidice, Inc., 132 A.D.2d 541; Schoonmaker v State of New York, 94 A.D.2d 741). Spatt, J.P., Sullivan, Harwood and Balletta, JJ., concur.


Summaries of

Empire Industrial Sys. v. North-Eastern Bank

Appellate Division of the Supreme Court of New York, Second Department
Nov 14, 1988
144 A.D.2d 429 (N.Y. App. Div. 1988)
Case details for

Empire Industrial Sys. v. North-Eastern Bank

Case Details

Full title:EMPIRE INDUSTRIAL SYSTEMS CORP., Appellant, v. NORTHEASTERN BANK OF…

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

Date published: Nov 14, 1988

Citations

144 A.D.2d 429 (N.Y. App. Div. 1988)

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