Loeb Secures Settlement for RFR in New York Commercial Real Estate Dispute

Loeb & Loeb secured a settlement on behalf of RFR, a New York City-based international real estate investment, development and management firm, in a large commercial real estate dispute arising from a contested foreclosure and the attempted termination of a management agreement at a prominent Midtown Manhattan office property near Grand Central on Madison Avenue.

The litigation stemmed from the defendants’ conduct surrounding a mezzanine loan foreclosure indirectly relating to a 26-story, pre-war office building located at 285 Madison Avenue. RFR  alleged that the foreclosure process was conducted in a commercially unreasonable manner in violation of the Uniform Commercial Code. The company also asserted various claims relating to the attempted wrongful termination of a related long-standing property management agreement and the failure to pay millions of dollars in earned management fees and commissions. 

After the filing of the action and subsequent negotiations, the parties reached a settlement resolving all claims on mutually agreed confidential terms. The resolution brings the dispute to a close and avoids the need for prolonged litigation over complex issues involving secured transactions, commercial foreclosure procedures and contractual rights under New York law.

The Loeb team that represented RFR in the matter was led by Litigation partners Tad O’Connor and Andrew Elkin.