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Eminent Domain Law

By New York Real Estate Law Reporter Staff
December 01, 2023

Attorney's Fee Awarded On Interest Accruing During Appeal

Matter of Oakwood Beach Bluebelt, Stage 1, 2023 WL 5943922, AppDiv, Second Dept. (memorandum opinion)

In a condemnation proceeding, the City of New York appealed from Supreme Court's award of attorneys' fees to claimant based upon interest that accrued while a prior appeal was pending. The Appellate Division affirmed, holding that Supreme Court had providently exercised its discretion.

The city had offered to pay claimant $611,000 as compensation for taking and made and advance payment of that amount. After a nonjury trial, Supreme Court awarded $10,100,000 as just compensation, but the appellate Division reduced that award to $3,165,313. Claimant then sought an additional allowance of $799,627.64 in attorneys' fees, and Supreme Court awarded that amount, relying on the contingency fee arrangement with claimant's counsel, which provided for a fee equal to 20% of the excess of amounts received by claimant, including interest, over the advance payment. The city appealed from the order to the extent the award was based on interest that accrued while the appeal was pending.

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