Peters v. Collazo Florentino & Keil LLP
Court: Appellate Division of the Supreme Court of the State of New York; May 1, 2014; New York; State Appellate Court
Judgment from the Supreme Court of New York County, presided over by Justice Paul G. Feinman, was entered on November 14, 2012, affirming an arbitration award in favor of the defendant, which included a prejudgment interest rate set at 2% per annum. The court dismissed the plaintiff's complaint and upheld that the defendant did not timely seek to modify the prejudgment interest rate to 9%. Under CPLR 7511(a), the arbitrator's decision to maintain the 2% interest rate was deemed appropriate, particularly in light of the distinctions between CPLR 5001(a) and CPLR 5004. The plaintiff's argument that the arbitration should have been conducted under 22 NYCRR part 137 was rejected. The court determined that the plaintiff's consent to arbitrate under the New York City Bar Association's Rules, along with her full participation in the arbitration process, constituted a waiver of any rights under 22 NYCRR part 137. This included claims regarding the arbitrator's jurisdiction and the existence of a valid arbitration agreement, referencing precedent cases such as Matter of Naroor v. Gondal and Elul Diamonds Co. Ltd. v. Z Kor Diamonds, Inc. Additionally, the court noted that the claims and counterclaims involved substantial legal questions relating to professional malpractice and claims for damages against an attorney, which are not subject to arbitration under the specified regulations. The court dismissed the plaintiff's remaining arguments for affirmative relief as unavailing. The ruling was unanimously concurred by Justices Mazzarelli, Renwick, Gische, and Kapnick.