Court Opinion

ID: 9929191
Source: CourtListenerOpinion
Date Created: 2024-02-01 21:08:28.517642+00
Date Added: 2024-06-11T10:05:34.133795
License: Public Domain

Jaffe & Asher LLP v Abrams
               2024 NY Slip Op 30327(U)
                    January 25, 2024
           Supreme Court, New York County
        Docket Number: Index No. 651270/2023
                  Judge: Louis L. Nock
Cases posted with a "30000" identifier, i.e., 2013 NY Slip
 Op 30001(U), are republished from various New York
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                       publication.
                                                                                                                     INDEX NO. 651270/2023
  NYSCEF DOC. NO. 124                                                                                          RECEIVED NYSCEF: 01/25/2024

                                   SUPREME COURT OF THE STATE OF NEW YORK
                                             NEW YORK COUNTY
            PRESENT:             HON. LOUIS L. NOCK                                              PART                              38M
                                                                                      Justice
            ---------------------------------------------------------------------------------X   INDEX NO.          651270/2023
             JAFFE & ASHER LLP,
                                                                                                                    08/29/2023,
                                                         Plaintiff,                                                 09/05/2023,
                                                                                                 MOTION DATE        09/21/2023
                                                 -v-
                                                                                                 MOTION SEQ. NO.    003 004 005
             RUSSELL ABRAMS and SANDRA ABRAMS,
                                                                                                   DECISION + ORDER ON
                                                         Defendants.                                     MOTION
            ---------------------------------------------------------------------------------X

            The following e-filed documents, listed by NYSCEF document numbers (Motion 003) 76, 77, 103
            were read on this motion to                                                              SEAL                          .

            The following e-filed documents, listed by NYSCEF document numbers (Motion 004) 94, 95, and 101
            were read on this motion to                                                              SEAL                          .

            The following e-filed documents, listed by NYSCEF document numbers (Motion 005) 96, 97, 98, 99, 100,
            102, 104, 105, 106, 107, 112, 113, 114, 115, 116, and 117
            were read on this motion for                                                    ATTORNEY WITHDRAWAL                    .

            LOUIS L. NOCK, J.

                      In motion seq. no. 003, defendants move for an order sealing NYSCEF Doc. Nos. 73-75.

            The motion is unopposed. In motion seq. no. 004, plaintiff moves for an order sealing NYSCEF

            Doc. Nos. 78-93. The motion is unopposed. Those motions are granted for the good causes

            shown in the respective affirmations in support of same, pursuant to Part 216 of the Uniform

            Rules for the Trial Courts.

                      In motion seq. no. 005, counsel for the defendants moves to be relieved as counsel for the

            defendants in this action due to reasons explained in said counsel’s affirmation in support. The

            motion also seeks an order granting said counsel a retaining lien on the file and a charging lien

            on the proceeds of any future judgment entered herein against the defendants. Plaintiff opposes

             651270/2023 JAFFE & ASHER LLP vs. ABRAMS, RUSSELL ET AL                                                 Page 1 of 4
             Motion No. 003 004 005

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                                                                                                      INDEX NO. 651270/2023
  NYSCEF DOC. NO. 124                                                                         RECEIVED NYSCEF: 01/25/2024

            the application, casting it as a method by defendants “to delay this matter long enough for them

            to remove their assets outside of the country and avoid payment of their debts” (NYSCEF Doc.

            No. 99 ¶ 3). Plaintiff further asserts that defendants’ counsel should not avail themselves of the

            opportunity of withdrawal – a remedy available under CPLR 321 and Rules 1.7 and 1.16 of the

            New York Rules of Professional Conduct – because, as plaintiff/counsel puts it, defendants’

            counsel “knew exactly who they were dealing with when they agreed to represent Abrams”

            (NYSCEF Doc. No. 99 ¶ 6). Plaintiff also opposes defendants’ counsel’s application for a

            charging lien. The court does not find merit in the opposition except to say that the court retains

            authority to fix the amount of the lien at the appropriate time, soberly mindful of plaintiff’s

            concern regarding the sufficiency of “equity to satisfy all of the claims against Abrams” (id. ¶

            10).

                    Due to the attestations by defendants’ counsel in support of withdrawal, which the court

            has no reason to doubt despite plaintiff’s bald assertions of deliberate delay tactics and casting of

            fault, this court finds that ample basis exists to grant the withdrawal relief requested by

            defendants’ counsel, relating to a breakdown in the attorney-client relationship and its necessary

            communications (see, NYSCEF Doc. No. 97). Moreover, it is well-settled that counsel is

            entitled to recover for services rendered and to impose a retaining lien on the file and a charging

            lien on the proceeds of any future judgment (Schneider, Kleinick, Weitz, Damashek & Shoot v

            City of N.Y., 302 AD2d 183, 187 [1st Dept 2002] [enforcement of a charging lien is founded upon

            the equitable notion that the proceeds of a settlement are ultimately “under the control of the

            court, and the parties within its jurisdiction, [and the court] will see that no injustice is done to its

            own officers”] [brackets in original]; Judiciary Law § 475).

             651270/2023 JAFFE & ASHER LLP vs. ABRAMS, RUSSELL ET AL                                  Page 2 of 4
             Motion No. 003 004 005

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                                                                                                      INDEX NO. 651270/2023
  NYSCEF DOC. NO. 124                                                                         RECEIVED NYSCEF: 01/25/2024

                      Accordingly, it is

                      ORDERED that the motions to seal (seq. nos. 003 and 004) are granted; and, therefore, it

            is

                      ORDERED that the Clerk of the Court is directed, upon service on him of a copy of this

            order with notice of entry, to seal the Affirmation of Daniel Rothstein, its exhibit, and the Affidavit

            of Russell Abrams (NYSCEF Doc. Nos. 73 through 75), and to seal the Affirmation of Marshall

            Potashner and its exhibits (NYSCEF Doc. Nos. 78 through 93) in the docket of the New York

            State Courts Electronic Filing System and to separate those documents and to keep them separate

            from the balance of the file in this action; and it is further

                      ORDERED that thereafter, or until further order of the court, the Clerk of the Court shall

            deny access to the said sealed documents to anyone (other than the staff of the Clerk or the court)

            except for counsel of record for any party to this case and any party; and it is further

                      ORDERED that service upon the Clerk of the Court shall be made in accordance with the

            procedures set forth in the Protocol on Courthouse and County Clerk Procedures for

            Electronically Filed Cases (accessible at the “E-Filing” page on the court’s website); and it is

            further

                      ORDERED that the motion (seq. no. 005) by counsel for the defendants – Levy Goldberg

            LLP, 75 Broad Street, Suite 2120, New York, New York 1004 – to be relieved as counsel for the

            defendants in this action is granted and, accordingly, said counsel is thusly relieved; and it is further

                      ORDERED that said outgoing defendants’ counsel’s application (in seq. no. 005) granting

            said counsel a retaining lien on their office file involving defendants in this action and granting

            said counsel a charging lien on the proceeds of any future judgment entered herein against the

            defendants is granted, subject to this court’s future determination fixing the quantum and extent of

             651270/2023 JAFFE & ASHER LLP vs. ABRAMS, RUSSELL ET AL                                  Page 3 of 4
             Motion No. 003 004 005

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                                                                                                       INDEX NO. 651270/2023
  NYSCEF DOC. NO. 124                                                                            RECEIVED NYSCEF: 01/25/2024

            such charging lien at a hearing in the future for the purpose of such determination, at which plaintiff

            may fully participate; and it is further

                    ORDERED that this action will now be stayed until February 23, 2024, to enable

            defendants to retain substitute counsel; and it is further

                    ORDERED that a status conference will be convened February 28, 2024, at 10:00 a.m., at

            the Courthouse, 111 Centre Street, New York, New York, at which substitute defense counsel will

            appear or, in the absence of such, defendants shall appear; and it is further

                    ORDERED that in the absence of appearance of such substitute counsel or the defendants

            at said conference, plaintiff may apply to this court at said conference for final judgment against

            the defendants; and it is further

                    ORDERED that outgoing defense counsel shall serve a copy of this decision and order on

            the defendants no later than January 29, 2024.

                    This will constitute the decision and order of the court.

                                                                       ENTER:

                    1/25/2024                                                                $SIG$
                      DATE                                                            LOUIS L. NOCK, J.S.C.
             CHECK ONE:                   CASE DISPOSED                  X   NON-FINAL DISPOSITION

             APPLICATION:
                                      X   GRANTED

                                          SETTLE ORDER
                                                              DENIED         GRANTED IN PART

                                                                             SUBMIT ORDER
                                                                                                      □   OTHER

             CHECK IF APPROPRIATE:        INCLUDES TRANSFER/REASSIGN         FIDUCIARY APPOINTMENT
                                                                                                      □   REFERENCE

             651270/2023 JAFFE & ASHER LLP vs. ABRAMS, RUSSELL ET AL                                   Page 4 of 4
             Motion No. 003 004 005

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