Discovery delays have been the source of sanctions compelling payment of attorney fees in two Commercial Division cases.

The Appellate Division, First Department, confirmed one of the sanctions Tuesday, but faulted a hearing officer's assessment procedure.

Ruling in 135 East 57th Street LLC v. 57th Street Day Spa, 602167/09, a unanimous panel said that although “it is clear that plaintiff is entitled to an award of attorneys' fees,” the judicial hearing officer who assessed the $69,000 penalty had relied on improper evidence.