Siegel Trading Co., Inc. v. Ungar

LASKER, District Judge.

Defendant, formerly employed by plaintiff as a sales representative in its commodities brokerage business, has moved for summary judgment on the ground that plaintiff’s claim is on a “special promise to answer for the debt ... of another” which must be, and in this case is not, evidenced by a signed memorandum under the New York Statute of Frauds, General Obligations Law § 5-701. Plaintiff argues that it was and is industry practice to hold salesmen accountable to the extent of their commissions for deficits in their customers’ accounts, that defendant agreed to this…