Lantz v. Lantz

• Docket Number: 535583
• Decision Date: 22 June 2023
• Citation: 2023 NY Slip Op 03392
• Parties: Linda Lantz, Individually and as Executor of the Estate of Carl Lantz, Deceased, Appellant, v. Donald G. Lantz et al., Respondents.
• Court: New York Supreme Court — Appellate Division

2023 NY Slip Op 03392

Linda Lantz, Individually and as Executor of the Estate of Carl Lantz, Deceased, Appellant,
v.
Donald G. Lantz et al., Respondents.

535583

Supreme Court of New York, Third Department

June 22, 2023

Calendar Date: April 27, 2023

Law Office of Ronald R. Benjamin, Binghamton (Ronald R. Benjamin of counsel), for appellant.

Hinman, Howard & Kattell, LLP, Binghamton (Paul T. Sheppard of counsel), for respondents.

Before: Garry, P.J., Aarons, Pritzker, Ceresia and Fisher, JJ.

Ceresia, J.

Appeal from an order of the Supreme Court (Eugene D. Faughnan, J.), entered April 29, 2022 in Broome County, which, among other things, granted defendants' motion to dismiss the amended complaint.

Carl Lantz (hereinafter decedent) and defendant Donald G. Lantz (hereinafter defendant) co-owned two businesses - Ray Lantz Garage, Inc. and Lantz Acres, LLC. Upon decedent's death, plaintiff, his widow, was appointed executor of his estate. Plaintiff and defendant then began negotiating for defendant to purchase decedent's share of the businesses. While negotiations were ongoing, plaintiff and defendant agreed to sell a parcel of real property owned by Lantz Acres and to allow counsel for the businesses - defendant Hinman, Howard & Kattell, LLP (hereinafter HH & K) - to hold the net proceeds from the sale in escrow. Thereafter, defendant purchased decedent's shares in, and became sole owner of, the businesses. As part of this transaction, plaintiff, both in her capacity as executor of decedent's estate and in her individual capacity, signed a general release in which she released defendant and the businesses from all potential claims that she might have against them. HH & K then transferred the escrow funds from the earlier sale of real property to defendant as the sole owner of Lantz Acres.

Plaintiff subsequently commenced the instant action alleging unlawful conversion of her purported share of the escrow funds and breach of fiduciary duty on defendant's part, later adding claims of breach of fiduciary duty and negligence by HH & K. Defendant moved pursuant to CPLR 3211 (a) (1), (3), (5) and (7) to dismiss the complaint, primarily contending that plaintiff's claims were barred by the release that she had executed, and plaintiff opposed, arguing that the release was not intended to apply to the escrow funds. Supreme Court granted the motion, finding that the release precluded plaintiff's claims against both defendant and HH &...