Fourth Department - Res judicata: Varma v. Allstate Insurance Co.

Daily Record Staff//May 27, 2026//

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

Res judicata — Breach of contract

CA 24-01878

Appealed from Supreme Court, Erie County

Background: The plaintiff appealed from an order that dismissed her breach of contract action based on res judicata.

Ruling: The Appellate Division affirmed. The court held that the plaintiff’s claim for breach of contract could have been raised in the parties’ prior litigation. In the prior action, the plaintiff alleged that the defendants breached an agency agreement by terminating it. In the instant action, he is alleging that the breach was because they attempted to enforce the termination payment provision of the agency agreement. The TPP was part of a supplement to the original agreement which the plaintiff, in both actions, maintained was not a valid part of the agency agreement.

Kevin T. Stocker for the plaintiff-appellant; Kevin C. McCaffrey, of Cetrulo LLP, and David P. Marcus, for the defendants-respondents.

Oral argument video