Beck v. Studio Kenji, Ltd.

The motion court erred in concluding that questions of fact existed regarding whether Vance and third-party plaintiff Honigstock were in “the functional equivalent of privity.” For a plaintiff to state a cause of action for negligent misrepresentation based on the existence of the functional equivalent of privity, three conditions must be satisfied: the defendant must have been aware that its representations were to be used for a particular purpose or purposes; the defendant must have intended that the other party rely on the representations for such purpose or purposes; and there must have…