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Sometimes Hell Does Freeze Over

By By Gary A. Goodman and Rachel D. Ittner

The recent decision in Reliastar Life Insurance Co. of New York v. Home Depot U.S.A., Inc., 570 F.3d 513 (2nd Cir. 2009), illustrates once again the limits of a purchaser's or lender's ability to rely on an estoppel certificate, especially when a tenant is entitled to claim constructive eviction. Moreover, the court determined that constructive eviction would trump a “hell or high water” commitment to pay rent.

The Case

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