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Adam Leitman Bailey, P.C.’s Tough Advocacy Results in Pre-Answer Settlement for Condominium Sponsor

Adam Leitman Bailey, P.C. represented a prominent real estate investment fund known for developing and redeveloping real estate in densely populated, ethnically-diverse urban communities. In this case, the firm was engaged by the fund to represent the sponsor and principals of a mixed-use, 47-unit residential/two-unit commercial condominium in the Park Slope neighborhood of Brooklyn. In 2011, the condominium’s board of managers commenced a lawsuit against the sponsor and principals, alleging construction and design deficiencies in the condominium building’s window-wall system that resulted in water infiltration. The board alleged damages in excess of $2.5 million.

At the earliest stage of the litigation, Adam Leitman Bailey, P.C.’s aggressive defense tactics compelled the plaintiff board to withdraw portions of its original complaint and, ultimately, to settle the matter before the defendants were required to answer the board’s allegations. Applying its expertise in condominium law, Adam Leitman Bailey, P.C., moved to dismiss the board’s claims for fraud, negligent misrepresentation, negligence, breach of warranty, and all claims asserted against the individual defendants. Instead of opposing the motion, the plaintiff board voluntarily dropped its negligence, negligent misrepresentation, and implied warranty claims, and served an amended complaint. Adam Leitman Bailey, P.C. promptly filed a second motion to dismiss the amended complaint. Before the motion was decided, the plaintiff board initiated settlement discussions. In the end, the defendants were able to settle the matter for a small fraction of the alleged damages prior to answering the amended complaint and before a single deposition was taken.

Adam Leitman Bailey argued the case in court and handled the settlement negotiations with the judge while Adam Leitman Bailey, P.C. attorney John M. Desiderio drafted the papers.

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