Colbert v. Rank America, Inc.
Opinion of the Court
—In a class action, inter alia, for a judgment declaring that certain membership campground contracts are void and unenforceable as contrary to public policy pursuant to General Business Law § 659, the defendants Rank America, Inc., Resorts USA, Inc., and Outdoor World Corporation appeal, as limited by their notice of appeal and
Ordered that the order is affirmed insofar as appealed and cross-appealed from, without costs or disbursements.
Contrary to the contention of the defendants Rank America, Inc., Resorts USA, Inc., and Outdoor World Corporation (hereinafter the appellants), the Supreme Court correctly determined that there can be independent liability under the Membership Campground Act § 656 for violations of General Business Law §§ 349, 350, and 369-ee (see General Business Law § 660 [4]; Meachum v Outdoor World Corp., 273 AD2d 208; Mem of Senator Daly, L 1990, ch 488, 1990 NY Legis Ann, at 252, 253). The appellants failed to establish their entitlement to judgment as a matter of law regarding the plaintiffs’ claim that the contracts were unconscionable, requiring denial of that branch of the motion (see Winegrad v New York Univ. Med. Ctr., 64 NY2d 851, 853). As for the remaining claims, after the defendants made out a prima facie case for summary judgment, the plaintiffs submitted evidence which raised triable issues of fact, precluding summary judgment (id.).
The Supreme Court properly dismissed the second cause of action insofar as asserted by the named plaintiffs, pursuant to General Business Law § 350. The deposition testimony indicated that the named plaintiffs did not see any of the appellants’ advertising until after the sales presentation, and that the advertising did not play a role in their decision to purchase the campground memberships (see McGill v General Motors Corp., 231 AD2d 449, 450; Gershon v Hertz Corp., 215 AD2d 202, 203).
The parties’ remaining contentions are without merit. Altman, J.P., Schmidt, Townes and Cozier, JJ., concur.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.