Matter of Marchese Assoc., LLC v Limitless Auto. Group, LLC

Holding The court affirmed the cancellation of a notice of pendency because, once the plaintiff was determined to be entitled only to monetary damages rather than specific performance, maintaining the notice carried indicia of bad faith. The likelihood of success on the merits was deemed irrelevant to the validity of the notice under CPLR 6514.

The court’s words

The notice of pendency was placed on the property as a matter of course when Limitless Automotive's action for specific performance was commenced and was not placed on the property in bad faith.

2026 NY Slip Op 05956, at the official text

However, once Limitless Automotive was relegated to monetary damages, maintaining the notice of pendency carries indicia of bad faith.

2026 NY Slip Op 05956, at the official text

One of the important factors in this regard is that the likelihood of success on the merits is irrelevant to determining the validity of the notice of pendency

2026 NY Slip Op 05956, at the official text