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Stuart L. MELNICK, et al., Plaintiffs-Appellants, v. Fred KHOROUSHI, et al., Defendants-Respondents, Heidi Liebowitz, Defendant.
Order, Supreme Court, New York County (Milton A. Tingling, J.), entered June 18, 2008, which denied plaintiffs' motion to vacate a default judgment that had affirmed an arbitration award directing plaintiffs to refund $12,000 in legal fees to defendants, unanimously affirmed, with costs. Sanction for frivolous prosecution of this appeal (22 NYCRR 130-1.1) imposed on plaintiffs for $3,500. The Clerk of Supreme Court, New York County directed to enter judgment payable in that amount to Lawyers' Fund for Client Protection, and the matter remanded for determination of reasonable attorney fees incurred in responding to this appeal, to be payable by plaintiffs to defendants Khoroushi and Alpine Armoring.
A default is considered intentional when a party takes no steps to vacate it until after judgment has been entered against him (see Roussodimou v. Zafiriadis, 238 A.D.2d 568, 569, 657 N.Y.S.2d 66 [1997] ). Despite having been afforded ample opportunity to avoid the entry of default judgment, plaintiffs failed to demonstrate either a reasonable excuse for their default or a meritorious defense to the counterclaims asserted by defendants (see Granibras Granitos Brasileiros, Ltda. v. Farber, 34 A.D.3d 230, 823 N.Y.S.2d 390 [2006] ).
Under the circumstances, this appeal is frivolous. Sanctions should be imposed, and the responding defendants should be reimbursed for their reasonable expenses and attorney fees incurred on this appeal (see Tsabbar v. Auld, 26 A.D.3d 233, 809 N.Y.S.2d 66 [2006] ).
We have considered plaintiffs' remaining arguments and find them without merit.
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Decided: December 30, 2008
Court: Supreme Court, Appellate Division, First Department, New York.
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Get help with your legal needs
FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.
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