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MBL Life Assurance Corp. v. 555 Realty Co.

Appellate Division of the Supreme Court of New York, Second Department
Jun 2, 1997
240 A.D.2d 375 (N.Y. App. Div. 1997)

Opinion

June 2, 1997

Appeal from the Supreme Court, Suffolk County (Berler, J.).


Ordered that the order is modified, on the law, (1) by deleting therefrom the provision which denied that branch of the plaintiff's motion which was for summary judgment on the second cause of action and substituting therefor a provision granting that branch of the motion, and (2) deleting therefrom the provision which denied that branch of the cross motion which was for summary judgment dismissing the third cause of action and substituting therefor a provision granting that branch of the cross motion; as so modified, the order is affirmed, insofar as appealed and cross-appealed from, without costs or disbursements.

At issue on the appeal and cross appeal in this foreclosure action is whether the limited exculpatory clauses of the mortgage and note imposed liability on the defendants for a deficiency judgment. The Supreme Court concluded that issues of fact regarding the meaning of the provisions precluded summary judgment. We disagree.

Where the language of an agreement is free from ambiguity, its meaning may be determined as a matter of law without resort to extrinsic evidence (see, Chimart Assocs. v. Paul, 66 N.Y.2d 570, 572-573; Mallad Constr. Corp. v. County Fed Sav. Loan Assn., 32 N.Y.2d 285, 291; Penguin 3rd Ave. Food Corp. v Brook-Rock Assocs., 174 A.D.2d 714). Because this action is based upon a written agreement, the parties agree that the facts are not in dispute, and do not rely on any parol evidence to shed light on the meaning of the agreement, the interpretation of the agreement presented an issue of law to be resolved on the parties' respective motions for summary judgment (see, Sutton v. East Riv. Sav. Bank, 55 N.Y.2d 550, 554; Mallad Constr. Corp. v. County Fed. Sav. Loan Assn., supra; Penguin 3rd Ave. Food Corp. v. Brook-Rock Assocs., supra).

The defendants' interpretation of the clauses in question would render them meaningless, and we decline to adopt such a construction (see, Two Guys From Harrison-N.Y. v. S.F.R. Realty Assocs., 63 N.Y.2d 396, 403; Hudson Val. Props. Rentals v. Ursuline Provincialate, 221 A.D.2d 507, 509). The plaintiff is therefore entitled to summary judgment on the second cause of action for a deficiency judgment.

It is settled, however, that a claim of conversion cannot be predicated on a mere breach of contract (see, Peters Griffin Woodward v. WCSC, Inc., 88 A.D.2d 883). Because the plaintiff failed to submit evidence demonstrating a wrong independent from the contract claim, the defendants are entitled to dismissal of the third cause of action to recover damages for conversion.

Bracken, J.P., Copertino, Pizzuto and Santucci, JJ., concur.


Summaries of

MBL Life Assurance Corp. v. 555 Realty Co.

Appellate Division of the Supreme Court of New York, Second Department
Jun 2, 1997
240 A.D.2d 375 (N.Y. App. Div. 1997)
Case details for

MBL Life Assurance Corp. v. 555 Realty Co.

Case Details

Full title:MBL LIFE ASSURANCE CORPORATION, Appellant-Respondent, v. 555 REALTY CO. et…

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

Date published: Jun 2, 1997

Citations

240 A.D.2d 375 (N.Y. App. Div. 1997)
658 N.Y.S.2d 122

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