American Jewish Theatre, Inc. v. Roundabout Theatre Co., Inc.
| Decision Date | 21 April 1994 |
| Citation | 203 A.D.2d 155,610 N.Y.S.2d 256 |
| Parties | AMERICAN JEWISH THEATRE, INC., Plaintiff-Respondent, v. ROUNDABOUT THEATRE CO., INC., et al., Defendants-Appellants. |
| Court | New York Supreme Court — Appellate Division |
Before SULLIVAN, J.P., and CARRO, WALLACH, KUPFERMAN and ROSS, JJ.
Order, Supreme Court, New York County (Shirley Fingerhood, J.), entered October 26, 1993 (on an August 19, 1993 decision), granting preliminary injunctive relief with a direction to proceed to arbitration, and order (same court and judge), entered October 12, 1993, clarifying the August 1993 decision on reargument, unanimously modified, on the law and the facts, to provide for termination to the injunctive remedy as of August 30, 1993, and we remand for further proceedings as indicated herein, and otherwise affirmed, without costs.
Defendant Roundabout Theatre Company is the prime tenant of the Susan Bloch Theatre, on West 26th Street in Manhattan. Defendant Haimes is Roundabout's producing director, and defendant Richard its general manager. In 1991 plaintiff entered into an agreement with Roundabout for the use of the theatre premises for a six-month period ending March 31, 1992. Roundabout was given the right to terminate the agreement for cause, upon notice and failure to cure. The agreement contained an option to renew for up to six additional months, if exercised in writing by February 1, 1992 and the first of each month thereafter. Plaintiff did pick up the option, and the parties agreed to extend through April 30, 1993, with an additional option available through August 30 of that year, provided the new option was exercised in writing by March 1st and the first of each month thereafter. The original agreement, which was incorporated by reference in the subsequent extension agreement, contained a broad arbitration clause for the resolution of all disputes.
When a rental dispute arose during the latest extension period, defendants notified plaintiff in July 1993 that because of plaintiff's breach, defendants would be re-occupying the premises seven days hence, and in any event, would not renew the agreement beyond August 30. Defendants forcibly entered, removed plaintiff's personal property, and commenced to change the door locks. Plaintiff then brought this action for injunctive and other relief. Defendants cross-moved to compel arbitration.
Defendants took the position that the agreement was a license, revocable at will by the...
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