Subject: Karben Copy
From: "Ryan Karben" <[email-masked]>
To: <[email-masked]>
Date: Mon, 11 Apr 2011 14:08:28 -0400 (EDT)

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Karben Copy

A Newsletter from the Law Office of Ryan Scott Karben

April 2011
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Dear Hunter,
After a relentless winter [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZrtWZ8M-6HI2JPeycoxkj_2B7fIa5vf15IGIjlkUMuo6M5ZbqPQS3fp4qvCFazD7n_DJpLX6aZxO6g93Re8SN9ykY76_aTkdk_4V8PIGPp_dwi7q-vNroHdbkf9ru9T_pIX370uGbeIr1x4eYU9Tlum5sGX9HrFpChxv_lTjgm3x6gE5e0Qe2WlFz3JSflR_MFUihFInGNGnA==],
the tulips seem to be poking through the earth, the windows can be slightly opened
and the grill bids for attention.  I hope the upcoming holidays push this year's
 snow into history.
Dormant development projects revived in the first quarter, hopefully signaling an
easing in the credit markets and a return to a sustainable development climate. 
 Our land use [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZqZXBFmPqjl6v0Vje3ce0ip5AY3hAdpWOIPyQIMWAXdpQwxNWW0cpv4RaMPV427_adfcAktXtG_ettZEPYiGP7f3Er7oCPUqQheWY2nHXEikzeCdNT9g16oTTcxLIvsxAuUMjmZ_xiOWw==]
practice continues to assist developers of projects from small residential subdivisions
to large commercial buildings.  We provide pre-purchase advice on development potential
and start-to-finish guidance on permitting from a variety of agencies.
We successfully concluded a complex contract mediation before JAMS [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZpqOi-uRIz-Q1msklVLUuiFyMhNvjW8ZlftKXus-JPtJ0EeBahQ31qptn6OnC7i-sMIBhzkuif92_g4uVFufE7EadCV5ariv9lG6SFbW1jB7A==],
one of nation's premier alternative dispute resolution services, negotiated a resolution
to a long standing real estate ownership dispute and are forcefully litigating a
 multi-million dollar breach of contract action between a manufacturer and supplier
in the Southern District of New York [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZp2QrR0g_3vsAO7R02nwgNIIlct3CMfRnUccNroeLrWUAn4HA0Zu0o4H5sMfzk0bdYKLT0HlizrCliUF7fJSPdb3ASPj34EB2Rtzv00cLnlTg==].
 That case, discussed at right, raises complicated and novel issues under the Uniform
Commercial Code [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZqbqj5g9Db27hTuvzu0gxIxYdpeF9yY9cjqgxW3fQlppU1Y1ZhQzHJpDz3fgHNpWFVyNaRUtLxyf1Aurp3f5Fhcbg8Zasonmte3jXVV4zV9H-HQvjGSS442LGwf4N2bX9yeeLfctTBWuA==].
My colleagues and I at Mercury [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZq25HE94Ogb7LWIBd2QgldK7YCcw28Q6fXB6P7LNPDrCUefMMrwM5TkTFqht0xQKLCQBZPfKbFvXOkGo7vF8VnoJMtfsgEYTw6Nu0rjGODA2Q==]
grappled with serious state budget issues in Albany and remain focused on moving
 our clients' issues through the executive and legislative branches in Albany, Washington,
DC and New York City.  We have recently expanded our capabilities in NJ and PA, 
with a full team of talent ready to advance your objectives.  As a high stakes public
strategy firm, we are uniquely suited to provide comprehensive public affairs, government
relations and communications guidance.
As always, do not hesitate to contact me [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZpj_04OUOmmkqOI77eZqVcD2RIWSLSkTfnfrOJ3HDCyxl3TqusEqnn8lAxnE69PdoMeiT2WXSNrwLRikDdLgNJSzoZNy1wfRW9tZjohvC08-Y2NaMajqU9doI_wTTKhVgQ=]
if I can be of any assistance.
Best,
Ryan S. Karben
The material contained in this newsletter is attorney advertising.
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Court of Appeals Takes Wide View of Legislative Intent, Blocks Buffalo Raises

In a decision with wide-ranging implications for New York municipalities in financial
distress, the Court of Appeals [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZqppPhJw7c_fvnMwWzSd8fX_nGsPFAyrmQ59xAt3dFNfPk7vjtQuvS3PDZKOVAu6ocZbYCZlKFTKvTLCB2TSCmIgmY-QGviAjARBf6PRKsiOMVUrv95mWRNEnbAutXaoNs=]
gave deference to an expansive reading of legislation creating Buffalo [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZosUCb79NHPeGriXzVriv8BxnoBacakt4PAeoD35ezXey2Ug5hhOe1kpxmXc710MmURX6Fl_DGn-BF6ThkTIqsi59Yykf9lPnXwt__GvgMQ0A==]'s
financial control board and rejected union arguments for a narrow reading that would
permit wage increases. The decision, by Justice Eugene Pigott [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZrB9GWy4ettfeI9EZvt0H0wE-LEVpzte5gpA20ejab1SQuwD8iUfGihPENMqxwjg1qBh8RqVUTaF7xjAydAnfGDXit9Up2x1wsVNzjW0g0fkieLdVrWChsXjueDaHlyA-z_Cr7os08kdg==],
is a notable bit of judicial modesty and deference to the stated objectives, if 
not the details, of legislative action.
The court's decision in Meegan v. Brown [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZpZQCAzgI7Ve12wI95OhObPwgB6wFxzPRN-DLyoqi_FbNgC-AL8qCV_MVGCFpScy65yzMsEpAcD_BNfjPUDTbY0k3QxAavQRSmLV6WNTL6XAxeyOydQXtIGN4PHWORYsV_ZA8Z1RKNFNhij4stcm2s64fQIz2tJHGXw7HPEhh2PgQ==]addressed
union and employee claims that the Buffalo Fiscal Stability Authority [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZrk0q9dZKaykzZvdGFne5SJUU2Ch_hxclyFXm1wnk95x66UhCcCtazHDBbwbDLLMn8dAvaW9zaHRk-TjV8GAIndZ9IMKaYdIBMahA080R3QtA==]
wage-freeze imposed in 2006-07 did not prevent employees from accruing credits that
would raise their wage class when the freeze expired.
In rejecting the employee/union claims, the Court found both the union claims for
an increase and the city's claim that all wages were frozen were "not unreasonable."
 The court nonetheless rejected the employee/union claims, even though supported
 by a reasonable reading of statute.
After concluding that it should give broad interpretation to the statute's technical
permission to the board to impose a freeze, the court continued, offering a philosophy
of statutory interpretation [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZrEy2SFpjIGoR9FLnYuE-hkmgj5qy0jDvNpcfr4KWjtzbh1x1JWpQQbpiD71yDQX0_jektL_7V4TE4CBcq-H-mqKTFATprtObTRE-TPy6yelE1IwLmdJAipzUXMGk6Ha5CFllPIlu_s8w==]:
"While examining the specific language of statutory provisions is part of our inquiry,
we must also look to the underlying purpose and the statute's history."
The court then reasoned that because the statement of legislative intent in the 
statue expressed its desire to preserve Buffalo's financial stability as a matter
of statewide importance, it was was certain Legislators [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZqg9kS13gcLSJoOUMHX2R8gR1iSBTTxmcMR9XMsR9yV5QRI0tbHzn1QyR6da9Ar22ejX3ABfZhHiScbTE5vZbXjrwDq3Is7n3XTFPQcYxh7aw==]wished
the control board to have broad power to effect its mandate:
"[T]he entire purpose of the statute was to place the city of Buffalo on sound financial
ground over the long term. In order to accomplish such purpose, BFSA was empowered
to freeze wages and salary increments until the City's growth and stability were
 renewed."
Therefore, the Court concluded that a technically plausible reading of statute coupled
with a fulsome statement of legislative purpose empowered the Board to impose the
broadest possible freeze. As a result of the decision, future legislation for financially
troubled municipality will be incredibly contentious. Moreover, there will likely
be renewed attention by legislators and bill drafters to statements of legislative
intent which are not generally viewed as the important part of legislation.
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Community Corner: Legal Services of the Hudson Valley

Legal Services of the Hudson Valley [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZrqiI3J2BadpWvAw8h1GyzaK1AY9NMiMlOr40WTb5CzR9RHKCqkMgcdjgTqlTq98bnqDbGeaXvyr2e3sqTg8n27syyppUUZNULyPLipXzTCXzvSaSiwrlibDydof1ri17o=]
is the final hope for poor and low-income Hudson Valley residents who need representation
for non-criminal legal matters.  While court-appointed representation is guaranteed
in criminal cases to indigent defendants, poor and low-income Americans legal services
[http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZrqiI3J2BadpWvAw8h1GyzaK1AY9NMiMlOr40WTb5CzR9RHKCqkMgcdjgTqlTq98bnqDbGeaXvyr2e3sqTg8n27syyppUUZNULyPLipXzTCXzvSaSiwrlibDydof1ri17o=]need
to rely on the generousity of pro bono attorneys or the availability of their local
Legal Aid for assistance.

With skilled and dedicated advocates in seven locations throughout the Hudson Valley,
LSHV identifies and evaluates client needs immediately and addresses the problem
 with experience, commitment and passion.

LSHV also leverages its impact by recruiting "for-profit" attorneys as volunteers,
and by training lay advocates in other not-for-profit organizations in alternate
 routes to solve problems. For example, a family does not need to come to LHSV to
learn that it can call a municipal inspector to its home in order to have repairs
made.  Local non-attorney organizations can assist with that.

Support LSHV's work at the upcoming launch of its Child Advocacy Fund on May 5th.
 Details are available here [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZq-8SSquFgYuM6kDbO_AHJramqoRvHiNCjgR-EZlYpWlOJHELvHOUQt8cGTbg7gaYBR51-qdndh-ksmeOUBhClrZpW3Ic6pq32w5lNfNEYPUmg1IoNnHhTL3TT6cf0I1VA=].
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State Budget a Win for Cuomo Agenda

Governor Andrew M. Cuomo [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZpfVEcxSYBwCUFUAtjP6SsGNMOKrupfZ7lOxE1l9xsfeIDs05MNwt4okhGOLPKSMBhx8CJ2q_D1aNueWAet_F1pq0Xi07e_ods2PxgeaA0YX5r6W2d5Va5C]
(shown above with Ryan Karben, Esq.) scored a series of major policy victories in
the recent state budget battle, earning an on-time budget that held the line on 
spending and taxes.
"There is no doubt that the budget contains some pain," said Karben, "The Legislature
made meaningful restorations to a variety of programs and, most significantly, the
Governor secured agreement for two-year appropriations cycles for education and 
health care spending.  His real victory in this budget is the foundation it provides
for the 2012/2013 Executive Budget."
Karben, who served two terms in the State Assembly [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZqg9kS13gcLSJoOUMHX2R8gR1iSBTTxmcMR9XMsR9yV5QRI0tbHzn1QyR6da9Ar22ejX3ABfZhHiScbTE5vZbXjrwDq3Is7n3XTFPQcYxh7aw==]
and 5 years in the Rockland County Legislature [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZoj4but8p3g6hpJ8LESxS2HNiw_U5NJWZZmUGRo2WjxInSivJXfBS2lxRVubnXK4TbCY7SXwh8Gmzk_ZVWA6UzNbB7GkLif4WcZXiVoKe5WkWbp402hSbOxpTZWNf6uHrCCpy_UN1EHV__p_ExPDwZt],
said unprecedented fiscal challenges face state and local government.
Karben's firm, Mercury [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZrp01ocua6yj2e1i6XTKeCxNE2AZQbOm9lLFc0VIw_c2uwZ9onYg1HFoLqRwE6-9MR264uIIawfF4wa2ieDOznmGHGhlYdzqKG-Xw3Ddw5-6g==],
was involved in a number of budget-related issues and the legislative and regulatory
agenda facing state policy makers remains full.  New commissioners and personnel
 at a host of executive agencies require extensive outreach and education.
To discuss your 2011 public strategy priorities, contact us at [email-masked]
[mailto:[email-masked]].
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Federal Court Case Tests UCC Approach to "Adequate Assurance"

A multi-million dollar federal court litigation being handled by the Law Office 
of Ryan Scott Karben [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZrp01ocua6yjyAmdpmXa2ymr-FDP9JBYr3V0kruJlvpqm7ZUSISvJ_sANPVPmy6-SfL-v6k7EMB1TNlCoR9WVQrwLI6rkfRJCJfBOIvCj5LiA==]
will test the circumstances under which suppliers can demand "adequate assurance"
under the terms of the Uniform Commercial Code [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZqbqj5g9Db27hTuvzu0gxIxYdpeF9yY9cjqgxW3fQlppU1Y1ZhQzHJpDz3fgHNpWFVyNaRUtLxyf1Aurp3f5Fhcbg8Zasonmte3jXVV4zV9H-HQvjGSS442LGwf4N2bX9yeeLfctTBWuA==].

The UCC governs a broad swath of commercial contracts, providing standardized terms
and predictability to cross-state business transactions.

A demand for adequate assurance [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZqKC-eph6719X3iKZVS1ZddWJiJNCkVGYl8Y78olGzNvf0LlRBfp-f5YJxH5E37TQshDWOVupK0WyJk1RBJdMOg6WmiWljt4u51B6QCaf3ovJVEcSEzTS82q0pnVDkwYMZsQ2ugxD6oS_ZnrQh5RzadU_760kzTd_faCbMbww4XkI3RRVCUXOFryLyFBK6d7m-0BLiVgegXxdzK8pFvXdjXUYlGGHgnw34=]
is most often made by a supplier who fears that its customer, facing potential bankruptcy
[http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZqfXC3Rs9_hMUAcCKYncjPvYlh71ry054TSPfg52NtUIHz_2CWhGp4iZTqt2jTqbaUOLJR5YRuuum0vc__jN3xJoDlKUXISL2XYW_u3J5hoyATNil75yTZ3pHndKhZ8VhA=],
will not be able to pay for goods.  The supplier demands "adequate assurance" that
payment will, in fact, be made.

The courts, however, have ruled that what permits an adequate assurance demand must
be assessed on a case-by-case basis.  In this case, the customer was not facing 
bankruptcy and had just been approved for Small Business Administration [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZq5Li714CyDAr3vKrLeuH-27KosyedFUILec9ZD_-4F4b_vdYjL3pB5y2SG4SLTCdPXHjgsD-sLRUtbFrl0FQva25JSAzxVM6g=]
loan.

When the customer sought to arrange payment for when the loan proceeds were available
a short while later, the supplier demanded adequate assurance and refused delivery.
 As a result, the customer was unable to deliver finished materials to its own customers.
 Resulting losses were in the millions.

At issue are the precise financial circumstances in which adequate assurance may
 be demanded, the timeframe for the response to those demands and the breadth of
 remedies for lost revenues as a result of the supplier's failure to deliver.

Commercial decisions can have complex legal outcomes.  Before you make a major corporate
decision [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZow77C3JhWaCFtXnUdHSgLM6D1XcTCGl3Cs7Ku94gmkq5MnO2E7iXgpm414yzPC93huFe4Q47DKqm_spXBSgoI7xMuw0aKmOGt6c7Af_020tg==],
call us to discuss potential legal ramifications for you and your business.  The
 most cost-effective approach to legal services is to consult your attorney before
a problem becomes a lawsuit.

Learn more about our litigation practice here [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZp2CI-d5v7JrsIM1jvhb0ldjjX1hOEDmUguhYG8Qn1w13najyefayAjT1oTcxM_lKvbnlcyWWJgxhG8Un9ZFjxkrheDMB13UiGwIbr7qBKmtSN-tV5h-wxOktxkWe9jhJJdvGrqNO-psQ==]
and contact us [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZpj_04OUOmmkqOI77eZqVcD2RIWSLSkTfnfrOJ3HDCyxl3TqusEqnn8lAxnE69PdoMeiT2WXSNrwLRikDdLgNJSzoZNy1wfRW9tZjohvC08-Y2NaMajqU9doI_wTTKhVgQ=]
with any challenges facing you and your business.
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Stand Up For Our Environment

Make your contribution today!

The Hudson Valley Environmental Action Fund [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZp-1EyId6sOaqtnyY2fI5hkJJab9X6Dq0SiZw7b06Dr8Lwt1RvCRDobusqxRUaloDJBX9Ax73VsruQQBlmsZaIadx0U8CBxGY8=]
supports greater public access to environmental data, increased investment in renewable
energy, broader commitment to planned growth, expanded efforts to clean up toxic
 waste sites and sharper focus on public transportation.

To donate, click here [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZp2QrR0g_3vsDSB1soQAqLa-oxVn91GEnhUM0QcIuJh1HvWYi6LeYcTqcppUXNDvkMMCeL0kO-cJ8aLayqdGAkLElUhp_gOhm5tLAT_33J0_xP7mZiMCbuL5-dGixwcb1AUEmRT6D1SYg==].

To volunteer to support candidates committed to our environment, click here [http://r20.rs6.net/tn.jsp?llr=5adt9wbab&et=1105077951204&s=4060&e=001cmtaoRajwZo9xefAnFDB_4B7TrqGveXtm6P4YJh6IsPBpNrKD3xCxOfhAvGawRlmOzu2GbuHxDrrbqatDjdVV65QLBkeN5cMPNyhY3LJY1735QRgZwSI3U76xjsCENG_n0UOVl4gklZxvFk5aolcfg==].
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