Fourth Department – Breach of contract: Lentner v. Upstate Forestry and Development, et al.

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New York State Supreme Court, Appellate Division, Fourth Judicial Department

Breach of contract

Parol evidence – Fraud

Lentner v. Upstate Forestry and Development, et al.

CA 22-01498

Appealed from Supreme Court, Herkimer County

Background: The plaintiff owns a 300-acre property, with the second plaintiff having a life estate in the property. The owner entered into a timber sale contract with the defendant whereby it was agreed that he would sell all species 16 inches on stump for $15,500. The contract was to expire in one year. The life estate plaintiffs acknowledged receipt of payment and the defendant logger began working on the property. Before the contract expired, the plaintiffs ordered logging to stop. The plaintiffs asserted claims of fraud, conversion, unjust enrichment and Section 861 of the Real Property Action Procedure Law. The defendants appealed from the denial of their motion for summary judgment dismissing the complaint.

Ruling: The Appellate Division found that it was in error to deny summary judgment dismissing the breach of contract claim as the plaintiffs failed to raise a triable issue of fact. The defendants met their burden establishing that the timber sale contract is a complete written instrument and the plaintiffs cannot rely on an alleged oral agreement to permit logging on the southernmost section of the property, permit logging on the middle section of the property only upon additional payment, and to prohibit logging on the northernmost section. The Appellate Division found that not triable issue of fact was raised regarding the fraud cause of action as the plaintiffs alleged that the defendant’s agents made representations to the plaintiffs in order to secure permission to log timber on the property, which regarded the northernmost and middle sections of the property, when the defendant’s intentions were for the whole property.

David P. Johnson, of Gerber Ciano Kelly Brady, for the defendants-appellants; David D. Benz, of Cheney Law Firm, for the plaintiffs-respondents; Willard R. Pratt III for the defendants-respondents.

 Oral argument video