New York Court of Appeals
Rosalind S. Wells, Respondent v. Shearson Lehman/American Express, Inc., Appellants
June 7, 198872 N.Y.2d 11
Summary
The New York Court of Appeals held that the settlement release in the prior Delaware class action unambiguously barred the plaintiff’s claims against the financial advisors, and therefore reversed the Appellate Division’s dismissal of the motion to dismiss. The Court noted that the release’s language was clear and not ambiguous, and that neither Delaware nor New York law requires specific naming of every released party. Justice Bellacosa dissented, arguing the term “anyone else” is ambiguous and should require extrinsic evidence.