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The Martin Act and Common Law Fraud
In Kerusa LLC v. W10Z/515 Real Estate Limited Partnership, the Court of Appeals resolved a question that has plagued the Appellate Divisions over the past several years: May a co-op or condominium purchaser prevail on a common law fraud claim based on material omissions from offering plan amendments mandated by the Martin Act? The court's answer was no, but the court's opinion left some unanswered questions about the scope of the Kerusa decision.
Case History
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