| ADHY Advisors LLC v 530 W. 152nd St. LLC |
| 2011 NY Slip Op 02148 [82 AD3d 619] |
| March 24, 2011 |
| Appellate Division, First Department |
| Published by New York State Law Reporting Bureau pursuant to Judiciary Law § 431. |
| ADHY Advisors LLC, Appellant, v 530 West 152nd Street LLC, Respondent, et al., Defendants. |
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Schwartz, Lichtenberg LLP, New York (Barry E. Lichtenberg of counsel), for
respondent.
Order, Supreme Court, New York County (Alice Schlesinger, J.), entered September 17, 2010, which denied plaintiff's motion to appoint a receiver pursuant to Real Property Law § 254 (10), unanimously affirmed, with costs.
Although the mortgage agreement at issue contains a provision which specifically authorizes the appointment of a receiver upon application by the mortgagee in any action to foreclose (see Real Property Law § 254 [10]), it is well settled that "[a]n action to foreclose a mortgage is an action in equity" (Jamaica Sav. Bank v M. S. Inv. Co., 274 NY 215, 219 [1937]). Thus, a court of equity, in its discretion and under appropriate circumstances, may deny such an application (see Maspeth Fed. Sav. & Loan Assn. v McGown, 77 AD3d 889, 889-890 [2010]; Clinton Capital Corp. v One Tiffany Place Developers, 112 AD2d 911, 912 [1985]; Mancuso v Kambourelis, 72 AD2d 636, 637 [1979], appeal dismissed 48 NY2d 1027 [1980]; W. I. M. Corp. v Cipulo, 216 App Div 46 [1926]). Based upon the circumstances presented here, we find that the motion court properly exercised its discretion in declining to appoint a receiver. Concur—Mazzarelli, J.P., Saxe, Friedman, Acosta and Freedman, JJ.