Howard S. Denburg, Respondent v. Parker Chapin Flattau & Klimpl, Appellant

Summary

The Court held that subparagraph 18(a) of the partnership agreement is void as a forfeiture‑for‑competition provision under Cohen v. Lord, Day & Lord and therefore unenforceable as against public policy. It also reversed the Appellate Division’s grant of summary judgment on the breach‑of‑contract claim because genuine factual disputes exist regarding a purported 1986 settlement, and remanded for further proceedings on the settlement and accounting issues.