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Crossland Savings, F.S.B. v. SOI Development Corp.

Appellate Division of the Supreme Court of New York, Second Department
Oct 9, 1990
166 A.D.2d 495 (N.Y. App. Div. 1990)

Opinion

October 9, 1990

Appeal from the Supreme Court, Queens County (Rosenzweig, J.).


Ordered that the order is reversed, on the law, with costs, and the plaintiff's motion for summary judgment is granted.

The appellant brought this action to foreclose upon two defaulted construction loans in the total original principal amount of $3 million, secured by an apartment building in Jamaica, Queens, and by property located in Montauk, Suffolk County. The respondents asserted defenses based on, inter alia, alleged fraudulent inducement to obtain the construction loans. The respondents seek money damages.

We find the respondents' assertions regarding fraud to be without merit. Representations that are mere expressions of opinion of present or future expectations are not to be considered promises when examining the issue of fraud in the inducement (see, Carvel Corp. v. Nicolini, 144 A.D.2d 611; Affiliated Credit Adjustors v. Carlucci Legum, 139 A.D.2d 611; Tutak v. Tutak, 123 A.D.2d 758). Here, the principal of the corporation that obtained the construction loans from the plaintiff testified that, at a meeting, the loan officer fraudulently induced him to obtain the loans by representing to him that he would receive future permanent financing by stating in effect, "whatever you're going to need with regard to the permanent loan, you'll get it". However, by the principal's own admission, no terms as to amount, interest, length, or a timetable with regard to a permanent loan were even discussed at that meeting. As such, we find the respondents' allegations, even if taken as true, do not amount to the perpetration of fraud.

We have considered the respondents' remaining contentions and find them to be without merit. Mangano, P.J., Thompson, Miller and Ritter, JJ., concur.


Summaries of

Crossland Savings, F.S.B. v. SOI Development Corp.

Appellate Division of the Supreme Court of New York, Second Department
Oct 9, 1990
166 A.D.2d 495 (N.Y. App. Div. 1990)
Case details for

Crossland Savings, F.S.B. v. SOI Development Corp.

Case Details

Full title:CROSSLAND SAVINGS, F.S.B., Appellant, v. SOI DEVELOPMENT CORP. et al.…

Court:Appellate Division of the Supreme Court of New York, Second Department

Date published: Oct 9, 1990

Citations

166 A.D.2d 495 (N.Y. App. Div. 1990)
560 N.Y.S.2d 782

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