Any doubts that contracts affecting real property can be made by e-mail exchanges between the parties or their agents were eliminated last month in a unanimous decision by the Appellate Division, First Department. In Naldi v. Grunberg,1 the court unequivocally held that an e-mail exchange can satisfy the requirements of New York’s Statute of Frauds and create an enforceable contract. Although the court declined to enforce the agreement at issue in Naldi because there was no meeting of the minds between the parties, the court’s extensive analysis and discussion provides a road map for those seeking to enforce, or avoid, creating an enforceable agreement by e-mail exchanges.

This column highlights the Naldi decision, discusses federal and state laws regarding e-mail contracts and evolving case law, and updates our earlier column dealing with electronic communications.2 This column also offers suggestions for co-op and condominium boards and managers with regard to taking precautions when using e-mail and how to avoid unintentional contractual commitments.

The ‘Naldi’ Decision

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