New York Court of Appeals

Eliza M. Goncalves, Also Known as Eliza G. M. Salles, Appellant v. Regent International Hotels, Limited, Doing…

February 17, 198358 N.Y.2d 206

Summary

The New York Court of Appeals held that a hotel may invoke the limited liability provision of General Business Law §200 only if it provides a "safe" that adequately protects against fire, theft and other foreseeable risks, and that whether the Mayfair Regent's safe‑deposit boxes met that standard is a material question of fact precluding summary judgment. The court also found the safe‑deposit box agreements limiting liability to $500 void for lack of consideration. Accordingly, the appellate order was modified, denying the defendants' summary‑judgment motion and dismissing the second and third affirmative defenses, and the decision was affirmed.