Legal Question in Business Law in New York

Statute of Limitation

I incorporated a consultancy company in NY with a friend in 1991. We were both 45%, 45% shareholders . 10% was a silent partner. My friend was the president & I was the VP/treasurer. In June 1992, we signed a large consulting contract with a client (Client X), whereby we would receive 5% commission of sales from client x, for life. An exclusive account was setup in Citibank to deposit the consultancy fees. After a few months, the consultancy fees stopped coming to the exclusive Citibank account. At that time, my friend told me client X reneged on their contract & we are no longer in business with them. At that point, my friend & I parted ways & we had no other contact with each other. I also had no other info about the day to day activities of the company we incorporated.

About 3 months ago, I found out that my friend took client X to arbitration in Sweden in 2003 (there was a clause in the contract that all disputes be taken for arbitration in sweden). The basis of the case was the consultancy contract we signed in 1992. In 2004, he won the case, & had the judgement/award go directly to another california company he had incorporated. Can I sue my friend/california company for 45% of the award? statute of limitation? thank you


Asked on 10/24/07, 8:04 pm

1 Answer from Attorneys
Kristen Browde Browde Law, P.C.

Re: Statute of Limitation

Yes, you can sue to enforce an arbitration award. However, it's not clear what you mean by "had the judgment.award go directly to another california company he had incorporated."

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Answered on 10/24/07, 9:53 pm


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