The New York Uniform Commercial Code Considers Antique Furniture as Goods; Therefore a Aause of Action for Breach of Contract in such Auction Sales is Barred by Four Year Statute of Limitation

The Supreme Court of New York of the New York County in Real Prop. Acquisitions Inc. v. Christie's Inc., 2005 N.Y. Misc. LEXIS 3285, 233 N.Y.L.J. 59 (N.Y. Sup. Ct. 2005) held that a cause of action for breach of contract for the sale of goods is barred by four-year statute of limitations. The court found that the antique furniture purchased at auction is considered goods within the meaning of the NY Uniform Commercial Code.  Hence the cause of action for breach of contract in an auction sale of the antique furniture is barred by the four year statute of limitation.  This case relates to disputes concerning the auction sale of an antique Stickley sideboard. The buyer of an antique sideboard alleged that the auction house's representatives misrepresented or concealed the true condition and value of the sideboard which had undergone damage and restoration.  

The plaintiff in this case, Real Property Acquisitions Inc. (“Plaintiff”) purchased an oak and wrought iron sideboard at an auction held at defendant Christie's Inc.’s (“Defendant”) auction house.  The catalogue for the auction titled "The Barbra Streisand Collection" (the catalogue) listed the sideboard as "Lot 408," it also contains photographs of the sideboard and refers to it as a "highly important" piece, and an "original" Gustav Stickley. After the purchase, the Plaintiff learned that the sideboard had been damaged and extensively repaired and restored and consequently, the value of the sideboard was significantly less. The Plaintiff alleged that the sideboard was severely damaged and repaired by a restorer and that it could no longer be termed "highly important" or an "original" Gustav Stickley. More than five months after the statute of limitation ran, the Plaintiff commenced an action for breach of contract against Defendant. The Defendant sought dismissal of the complaint. Id. at 1.  

The Defendant contended that the applicable statute of limitations barred Plaintiff's claims for breach of contract. Id. at 5. 

The Supreme Court found that a cause of action for breach of contract for the sale of goods is subject to a four-year statute of limitations. Id. The Court found that sideboard, like artwork purchased at auction, is considered goods within the meaning of the New York Commercial Code. Id.  The Defendant sold the sideboard at the auction in 1999 and the Plaintiff initiated this action in 2004.  That is, more than five months after the statute of limitation ran. Id.  Therefore, a four year statute of limitation barred the breach of contract claim under CPLR 3211(a)(5). Id. The Court further found that even if the statute of limitations had not run, the Defendant would be also entitled to a dismissal of the claim pursuant to CPLR 3211 (a)(1). Id at 5-6.

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