One of the most common calls we receive goes something like this: “I lent money to a friend, relative, or business owner. We never signed a loan agreement. But I have text messages where they keep promising to pay me back. Can I still recover the money?” In many cases, the answer is yes. While a written promissory note is always preferable, New York courts regularly consider text messages, emails, checks, bank records, and the parties' conduct when determining whether money w

Post-closing escrow arrangements are common in residential real estate transactions throughout Westchester County and New York City. Buyers often insist on retaining a portion of the purchase price in escrow until open permits are closed, certificates of occupancy are obtained, or other property-related issues are resolved. These agreements are intended to protect buyers while giving sellers an opportunity to complete outstanding work after closing. A recent Westchester Count

One of the most common—and costly—mistakes I see in business disputes is the confusion between a loan and an equity investment. While the distinction may seem obvious in theory, in practice parties often blur the line, leading to litigation when expectations are not met. A recent case illustrates just how dangerous that confusion can be. In Gritsay v. Brooklyn Comprehensive Center (Kings County Sup. Court May 7, 2026), the plaintiff alleged that she paid approximately $750,00

Access to financial records is important to minority shareholders in closely held corporations. A recent New York Supreme Court Commercial Division decision demonstrates that the denial of books and records to such minority shareholders could be used to support claims for oppression, breach of contract, and breach of fiduciary duty. In Lehan v. Montgomery (Sup. Ct., Suffolk County 2025), the dispute arose from a closely held corporation operating a car wash business in Long I

Business disputes in New York City and Westchester County often turn less on who “owes what” and more on how the deal was documented. A recent New York Supreme Court decision arising out of a high‑end wedding dispute underscores a recurring and costly mistake: using a loan agreement when no loan was ever made. The Underlying Facts: A Wedding, Large Invoices, and a Last‑Minute “Loan” In Timmons v. Guggenheim, 2025 WL 2962296 (Sup. Ct., N.Y. County Oct. 16, 2025), the dispute a

In an earlier post on this site, When the Seller’s Lawyer Holds the Escrow Deposit, I discussed the risks that arise when one party’s attorney controls escrow funds that are supposed to remain neutral. A related lesson follows naturally: when lawyers hold the escrow deposit, the choice of your own lawyer becomes especially important if the deal is falling apart. A 2017 Bronx County Supreme Court decision, 2125‑27 Williamsbridge LLC v. 2125 Williamsbridge Realty LLC, illustrat

Family loans are often made with the best of intentions. Parents want to help a child through a rough patch, relatives step in to assist with buying a home, or former spouses continue to provide financial support long after a relationship ends. Because these transactions are rooted in trust and family relationships, people frequently assume formal paperwork is unnecessary. Unfortunately, when relationships sour, finances change, or estates and divorces are involved, undocumen

Lending money to a family member is often done informally, based on trust rather than documentation. When repayment does not occur, however, the lack of a written agreement can leave even a well‑intentioned lender without legal recourse. New York courts routinely confront these disputes, and they consistently demonstrate that good faith expectations are not a substitute for a properly memorialized loan. The risks are well illustrated in Callahan v. Coventry (Suffolk County 20

One of the most dangerous provisions buried in many commercial loans and personal guarantees is a clause waiving all defenses, counterclaims, or offsets. These clauses are often described as “standard,” but in reality they are designed to strip a borrower or guarantor of meaningful legal protection before anything goes wrong. Once signed, they can turn even blatant lender misconduct into an unenforceable complaint. In plain terms, a waiver of defenses means the borrower agree

In residential real estate transactions, the escrow deposit is supposed to be neutral money. Its purpose is simple: preserve the status quo while contingencies are resolved and ensure that, depending on what happens, the right party ultimately receives the funds. The escrow agent’s role is correspondingly simple — hold the money impartially and release it only as permitted by the contract or by court order. But that neutrality can quietly collapse when the seller’s attorney a