Recently the Court of Appeals reversed the First Department in a case of first impression for both courts with important implications for buyers of options to purchase cooperative apartments, and for the law with respect to options generally. The case of H.J. v. Shung Moo Louie[1]� represents the first time that a properly exercised fixed-price option was not enforced by a New York court. Further, the Court of Appeals held, for the first time, that a merger and integration provision is effective notwithstanding that the contract containing that provision was expressly “cancelled” by its terms. The authors were counsel to the option buyer in the case.
Option to Purchase
