| McDonald v Edelman & Edelman, P.C. |
| 2014 NY Slip Op 04560 [118 AD3d 562] |
| June 19, 2014 |
| Appellate Division, First Department |
[*1] (June 19, 2014)
| Errol McDonald,Respondent-Appellant, v Edelman & Edelman, P.C., et al.,Appellants-Respondents. |
L'Abbate, Balkan, Colavita & Contini, L.L.P., Garden City (Scott E. Kossove ofcounsel), for appellants-respondents.
The Berkman Law Office, LLC, Brooklyn (Robert J. Tolchin of counsel), forrespondent-appellant.
Order, Supreme Court, New York County (Ellen M. Coin, J.), entered November 19,2012, which granted so much of defendants' motion as sought to dismiss the first, thirdand fourth causes of action and denied so much of the motion as sought to dismiss thesecond cause of action, unanimously affirmed, with costs against defendants.
Defendants argue that the second cause of action, which seeks an accounting, isbased on breach of fiduciary duty, in light of the attorney-client relationship, and seeksmoney damages, and is therefore barred by the three-year statute of limitations set forthin CPLR 214 (6). They improperly raised this argument for the first time in reply on theirmotion (see Caribbean Direct,Inc. v Dubset LLC, 100 AD3d 510 [1st Dept 2012]). In any event, the argumentis unavailing. Plaintiff's claim for an accounting so that he can recoup disbursementsallegedly improperly charged against his jury award has little to do with whetherdefendants performed their legal services in a non-negligent manner (see Matter of R.M. Kliment &Frances Halsband, Architects [McKinsey & Co.], 3 AD3d 143 [1st Dept2004], affd 3 NY3d 538 [2004]). It has to do with whether defendants oweplaintiff a fiduciary duty to account for money or property allegedly belonging to him,and is therefore governed by the "residual" six-year statute of limitations set forth inCPLR 213 (1) (see Hartnett v New York City Tr. Auth., 86 NY2d 438, 443[1995]; Bouley v Bouley,19 AD3d 1049, 1051 [4th Dept 2005]).
The first cause of action, alleging legal malpractice, accrued at the time thatplaintiff's appeal of the order that granted summary judgment dismissing his underlyingLabor Law claims was dismissed for want of prosecution, in July 2006, notwithstandinghis lack of knowledge of the dismissal (see McCoy v Feinman, 99 NY2d 295,301 [2002]). Plaintiff then had three years to commence a malpractice action againstdefendants (see CPLR 214 [6]), absent an applicable ground for tolling thelimitations period. He did not commence this action until March 2012.
Plaintiff relies on the continuous representation doctrine. However, in June 2008,defendants sent him a letter enclosing the Second Department's affirmance of theunderlying judgment and formally closing their representation of him. The letter, whichplaintiff did not object to, demonstrates that the parties lacked "a mutual understandingof the need for further [*2]representation on the specificsubject matter underlying the malpractice claim" (see Williamson v PricewaterhouseCoopers LLP, 9 NY3d 1,9-10 [2007] [internal quotation marks omitted]). Even accepting that defendantsconcealed from plaintiff the fact that his appeal was dismissed as abandoned, their letterplaced him on notice that his attorney-client relationship with them had ended.
Plaintiff also relies on the doctrine of equitable estoppel to preclude defendants frompleading the statute of limitations defense. However, application of that doctrine wouldbe inappropriate, since, despite his notice of the conclusion of defendants' representationof him in the underlying action, plaintiff failed to exercise reasonable diligence toascertain whether his appeal from the dismissal of his Labor Law claims was still viable(see Pahlad v Brustman, 8NY3d 901 [2007]). In any event, defendants' alleged mere silence as to theabandonment of the appeal is insufficient to invoke the doctrine of equitable estoppel (see Ross v Louise Wise Servs.,Inc., 8 NY3d 478, 491-492 [2007]).
We note that the complaint also fails to state a cause of action for malpractice, sinceit does not plead that but for defendants' alleged negligence in failing to prosecute theappeal from the dismissal of the Labor Law claims plaintiff would have prevailed on theclaims (see e.g. Waggoner vCaruso, 14 NY3d 874 [2010]; Lieblich v Pruzan, 104 AD3d 462 [1st Dept 2013]).
The fourth cause of action, which alleges a violation of Judiciary Law§ 487, is timely because it was asserted within six years of plaintiff's receiptof defendants' June 2008 letter (see CPLR 214 [2]; Melcher v Greenberg Traurig,LLP, 102 AD3d 497 [1st Dept 2013]). However, the complaint neverthelessfails to state a cause of action under the statute, since it does not allege that plaintiffsuffered any injury proximately caused by any deceit or collusion on counsel's part, andno such injury can reasonably be inferred from the allegations (see Bohn v 176 W. 87th St.Owners Corp., 106 AD3d 598, 600 [1st Dept 2013], lv dismissed in part,denied in part 22 NY3d 909 [2013]).
We have considered the parties' remaining arguments for affirmative relief and findthem unavailing. Concur—Acosta, J.P., Renwick, Andrias, Saxe andManzanet-Daniels, JJ.
The decision and order of this Court entered herein on November 12, 2013 (111AD3d 457 [2013]) is hereby recalled and vacated (see 2014 NY Slip Op75460[U] [2014] [decided simultaneously herewith]).