NYC Business Litigation: Prosecute or Defend Fast Now

Why Speed Matters in NYC Business Disputes

In New York City, the first days of a business dispute can shape the entire case. Early action can preserve leverage, protect assets, and prevent reputational and operational harm. Whether you intend to pursue claims or defend against them, move quickly to assess facts, secure documents, and select the right forum.

Immediate Triage: What To Do in the First 72 Hours

• Lock down evidence: issue preservation notices to custodians, suspend auto-deletion settings, and secure contracts, emails, chat logs, and device data.
• Identify urgent risks: customer poaching, trade secret exposure, supply-chain disruption, or threatened asset transfers.
• Map the forum: consider New York State Supreme Court (including the Commercial Division) or federal court; check contracts for forum-selection, arbitration, and jury waivers.
• Confidentiality posture: review NDAs and restrictive covenants; prepare tailored cease-and-desist or standstill proposals where appropriate.
• Insurance: tender potential claims promptly to avoid late-notice issues and to access any panel-counsel options available under your policy.

Choosing the Right Forum: Commercial Division Advantage

For complex business cases, New York’s Commercial Division of the Supreme Court applies specialized rules aimed at efficiency and proportionality in commercial matters. See 22 NYCRR § 202.70 (Commercial Division Rules). Eligibility depends on subject-matter criteria and county-specific monetary thresholds; consider whether Commercial Division assignment will expedite resolution for your case.

Fast Relief: Preliminary Injunctions and TROs

When time-sensitive harm looms, parties may seek provisional remedies under New York practice to maintain the status quo, protect trade secrets, enforce restrictive covenants, or prevent asset dissipation. Under CPLR Article 63 (Injunction):

• Temporary Restraining Orders (TROs): a TRO may be granted pending a motion for a preliminary injunction; ex parte relief is available in limited circumstances. See CPLR 6313.
• Preliminary Injunctions: New York courts typically evaluate whether the movant has shown likelihood of success on the merits, irreparable harm absent relief, and that the balance of equities favors the injunction. See CPLR 6301 and Article 63. If granted, the court generally requires an undertaking (bond). See CPLR 6312(b).

Defendants should be prepared to challenge evidentiary showings, propose narrower relief, move to vacate or modify TROs and injunctions, and request an increased plaintiff’s undertaking where appropriate under CPLR 6312.

Accelerating or Containing Discovery

Early case conferences and tailored discovery plans can dramatically affect speed and cost. Consider phased discovery focused on injunctive issues first, targeted ESI protocols, and appropriate confidentiality orders. The Commercial Division rules encourage efficient case management, including pre-motion conferences and structured preliminary conferences. See 22 NYCRR § 202.70.

Pleading Strategy: Claims and Defenses

Common NYC business claims include breach of contract, fiduciary duty, unfair competition, misappropriation of trade secrets, business torts, and declaratory judgment. Potential defenses include lack of standing, contract disclaimers, statute of frauds, economic loss doctrine, preemption, and arbitration or forum selection. Consider whether to seek early dismissal, remove or remand where appropriate, or compel arbitration if a valid clause exists.

Emergency Motions and Asset Protection

Beyond injunctive relief, litigants may seek an order of attachment to secure assets pending judgment, subject to statutory grounds and undertakings. See CPLR Article 62 (Attachment). Grounds are listed in CPLR 6201 (e.g., nondomiciliary defendants or risk of judgment frustration), and the court typically requires an undertaking under CPLR 6212(b). Move quickly where there is a risk of concealment or dissipation; defendants should challenge the statutory predicates, the sufficiency of affidavits, and the scope of any restraint.

Commercial Division Rules: Efficiency Tools

The Commercial Division rules encourage efficiency through robust pre-motion requirements, page limits, structured preliminary conferences, mandatory meet-and-confer obligations, and model form orders. For confidentiality, courts frequently use the Commercial Division’s Model Confidentiality Stipulation and Order. See 22 NYCRR § 202.70 and the Model Confidentiality Stipulation and Order.

Settlement Leverage and Early Resolution

Early motion practice, calibrated provisional relief, and targeted discovery can create settlement leverage without overextending resources. Consider early mediation—many Commercial Division Justices actively encourage ADR under the Commercial Division framework. See 22 NYCRR § 202.70.

Arbitration or Court: Making the Call

Arbitration can offer confidentiality and a faster path to adjudication, but discovery and motion practice vary by provider and arbitrator. Court can provide appellate oversight, robust interim remedies, and predictable rules. Review your contracts to see whether arbitration is mandatory, whether injunctive relief is carved out, and whether you can seek interim relief in court. New York permits provisional remedies in aid of arbitration in appropriate cases. See CPLR 7502(c).

Practical Tips

Practical Checklist

• Preserve evidence and send litigation holds.
• Analyze contracts for forum, law, arbitration, and remedies.
• Evaluate need for TRO or preliminary injunction; prepare sworn affidavits and exhibits.
• Assess attachment or other provisional remedies if there is asset-dissipation risk.
• Consider Commercial Division eligibility and assignment strategy.
• Plan phased, proportional discovery and protective orders; use model confidentiality stipulations where suitable.
• Assess insurance and tender promptly.
• Explore early mediation and structured standstills.

FAQ

How fast can a TRO be obtained in New York?

In urgent circumstances, a TRO may be sought on short notice and, in limited cases, ex parte. Courts will look for specific, sworn facts showing immediate and irreparable harm and may require an undertaking.

Do Commercial Division cases move faster?

Often, yes. The Commercial Division’s rules and active case management can streamline motion practice and discovery for qualifying cases.

Can I get provisional relief if my contract has an arbitration clause?

Yes, New York courts may grant provisional remedies in aid of arbitration when appropriate. See CPLR 7502(c).

What if the other side is moving assets?

Consider seeking an order of attachment under CPLR Article 62 if statutory grounds are met, and move quickly to prevent dissipation.

How We Help

We act quickly to prosecute or defend NYC business disputes. Our team prepares emergency papers, navigates Commercial Division practice, and structures discovery and settlement strategies aligned with your business objectives. If timing is critical, we can mobilize to protect your interests. Contact our NYC litigation team.

Key Sources

• 22 NYCRR § 202.70 – Commercial Division Rules
• Commercial Division Model Confidentiality Stipulation and Order
• CPLR Article 63 – Injunction (incl. CPLR 6301, 6312, 6313)
• CPLR Article 62 – Attachment (incl. CPLR 6201, 6212)
• CPLR 7502(c) – Provisional remedies in aid of arbitration

New York-specific disclaimer: This post is for general information only, is not legal advice, and does not create an attorney-client relationship. New York procedures and deadlines (including for TROs and other provisional remedies) are time-sensitive and fact-dependent. Consult qualified New York counsel about your specific situation.