Court Says Synagogue May Bring Summary Proceeding To Evict Caterer Licensee

Jem Caterers of Woodbury, Ltd. v. Woodbury Jewish Center, (Nassau Co. NY Sup. Ct., April 26, 2012), involves a dispute between a synagogue and a caterer that had entered into a license agreement with the synagogue to conduct catered events at the synagogue.  The caterer stopped paying amounts (described as "contributions toward maintenance," of which over $611,000 was owed) that it was to pay the synagogue and brought suit for breach of contract claiming the synagogue had not maintained the facilities as required by the license agreement-- a claim that the synagogue denied.  A New York trial court denied declaratory and injunctive relief to both sides, holding that the proper remedy is for the synagogue to bring a summary proceeding under RPAPL Sec. 713 to recover property from a licensee. The synagogue had already begun such a proceeding, having served a a notice of termination and ten-day notice to quit on the caterer. The court denied the caterer a TRO to restrain the synagogue from exercising its right to revoke the license because, according to an affidavit, the caterer had prepared non-kosher food in a kosher kitchen, used the same truck and dishes for both kosher and non-kosher food, and retained tip money that should have gone to the caterer's employees. According to the court, the reputation of the synagogue and its rabbi will be irreparably harmed if the caterer is allowed to continue to use its kitchen.