On behalf of another law firm, Moses & Singer attorneys, David Rabinowitz and David Lackowitz, defeated a motion to dismiss a claim to a retaining lien against the payor of a settlement in an eminent domain proceeding.

The New York City School Construction Authority acquired property for a school in settlement of an eminent domain proceeding. Although the School Construction Authority had raised its proposed purchase price from $18 million to $32 million during the proceeding, the property owner discharged its counsel and refused to pay the fee. The former counsel sued for the fee and claimed that the School Construction Authority became subject to former counsel’s retaining lien at the time the settlement was agreed but before the settlement was paid.

On the School Construction Authority’s motion to dismiss, Supreme Court Kings denied the motion, agreeing that a charging lien under both the common law and Judiciary Law §476 attached at the moment that the settlement agreement was made.