January 2015
Table of Contents
Campolo, Middleton & McCormick, LLP is a full-service business law firm that represents clients in a wide variety of legal matters including corporate, healthcare, intellectual property and technology, labor and employment, liability insurance & insurance coverage, litigation and appeals, matrimonial, mergers and acquisitions, municipal liability and government relations, private equity, real estate development, white collar defense and wills, trusts and estates.

The information contained in this newsletter is provided for informational purposes only, and should not be construed as legal advice on any subject matter. The Firm provides legal advice and other services only to persons or entities with which it has established an attorney-client relationship. No recipients of information from this newsletter, clients or otherwise, should act or refrain from acting on the basis of any information included in this newsletter without seeking appropriate legal or other professional advice on the particular facts and circumstances at issue from an attorney licensed in the recipient's state. The content of this newsletter contains general information and may not reflect current legal developments. The Firm disclaims all liability in respect to actions taken or not taken based on any or all of the contents of this newsletter.
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CMM Voted Best Law Firm on Long Island

We're incredibly proud to share that Campolo Middleton & McCormick has been voted the 2015 Best Law Firm on Long Island. We would like to thank all our clients, colleagues, and friends for your support and to the entire Long Island community for voting for us! 

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Purchase Order Scam Hits Long Island

By Lauren Kanter-Lawrence, Esq.

A large order comes in from a new customer - a major research university.  Excited at the prospect of developing a long-term relationship with such a well known institution, you have no problem shipping out the order right away, with the invoice to follow a couple of days later.


The following week, several orders come in from an established client.  Your sales reps have strong relationships with this client, who has always paid on time.  Eager to showcase the customer service the client has come to expect from your company, you ship the order as soon as possible, never doubting that the client will pay the bill.


Unfortunately, what may appear to be a profitable order or a promising new customer could instead be an effort to drag your company into a complex scheme the FBI calls "purchase order fraud."


Despite Landlord's Possession, Court Of Appeals Enforces Rent Acceleration Clause in Commercial Lease 

By Patrick McCormick, Esq.

Commercial landlord/tenant matters do not often reach the Court of Appeals.  However, in December 2014, the Court of Appeals issued a decision addressing the enforceability of a rent acceleration clause in a commercial lease where the landlord obtained possession of the demised premises after tenant defaulted in paying rent and abandoned the premises.  Landlord/tenant practitioners should be aware of this significant decision.[i]


Landord, 172 Duzer Realty Corp., entered into a one year commercial lease with tenant Globe Alumni Student Assistance Association, Inc. under which the premises was used as a dormitory by Globe Institute of Technology.  Before the end of the initial term, landlord and tenant extended the term for a nine-year period and Globe Institute of Technology signed a guarantee.  Shortly after executing the extension, tenant defaulted under the lease and landlord served a notice to cure.  

[i] 172 Van Duzer Realty Corp. v. Globe Alumni Student Assistance Association, Inc., et al., 2014 WL 7177502 (2014) 
Redefining Family
By Scott D. Middleton, Esq.
A continuing problem facing local municipalities is out-of-possession landlords who own homes in areas zoned for single-family residences. When these property owners rent to groups of people that do not necessarily live together as a family unit, it can create problems for neighboring homeowners and government officials.

Villages and towns have a legitimate interest in promoting and preserving the character of their neighborhoods. An influx of college students sharing homes in a single-family area can drastically change the quality of life and character of a neighborhood.
Ring in the New Year with Reduced U.S. Trademark Office Filing Fees

Begin the new year by taking advantage of the U.S. Trademark Office's reduced filing fees for new trademark and renewal applications.


The previous filing fee for a new trademark application was $325 per class.  Effective January 17, 2015, this fee has been reduced to $275 per class.  Further, the filing fee for a renewal application was $400 per class, and has now been reduced to $300 per class. 


With these reduced fees and a fresh start to the new year, it is now time to look into protecting your company's assets and revisit some trademarks you have been meaning to file.  The importance of trademark protection for your company, products, or services cannot be overstated.  

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Court Requires Plaintiff to Add So-Called "Dummy" Corporation to Lawsuit Against Alter Ego

Determining which individuals or entities are the proper parties to name in a lawsuit can sometimes be a technical matter-for example, determining the legal name of a corporation-but it can also be a strategic consideration. However, many times parties are considered "necessary" to a lawsuit, such as a party to a contract who is alleged to have breached the contract.  Whenever a party is considered "necessary" or "indispensable," that party must be included in the lawsuit.  A plaintiff in a recent case in the Suffolk County Commercial Division, Intelligent Product Solutions, Inc. v. Morstan Gen. Agency, Inc. (J. Whelan), attempted to circumvent the requirement of naming a necessary party by commencing a lawsuit against an entity believed to be a dominant alter ego of the party with whom plaintiff actually contracted. The Court, however, did not let the plaintiff get away with it. 

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Going Through a Divorce; Update Your Documents

If you have or will soon have an ex spouse, believe it or not, he or she may still have power over your medical and financial affairs after your divorce.  This would send shockwaves through most people knowing that their ex spouse may still have any control over them after they part company.  This is why it is important to update your beneficiary designations and other estate planning documents to prevent your soon to be ex spouse from inheriting money or remaining in positions of authority.
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Joe Campolo Voted Best Lawyer on Long Island

We would also like to congratulate CMM's Joe Campolo, Esq., on being voted the 2015 Best Lawyer on Long Island.  As Managing Partner of CMM, he has broad experience in advising business owners and executives on legal and business strategies. Joe was voted the Best Lawyer for his commitment to his community, his command of the law, and his expertise in dealing with complex legal matters. 

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CMM Executive Breakfast: Align Your Team for Success

CMM will host its next Executive Breakfast Series on February 11, 2015, with Abbe Meehan presenting on How To Align Your Team for Success. As business owners and managers, it's important to communicate clearly with your employees to align them with your vision to see the results you expect from your team. Seating is limited; please contact if you are interested in attending.

CMM Sponsoring 2 Upcoming HIA-LI Events


CMM will be sponsoring the HIA CEO Roundtable on February 4th, featuring guest speaker John Miller, CEO of American Red Cross on Long Island. Visit here to learn more or to purchase tickets to attend. 


The firm will also be sponsoring the HIA's Annual Economic Summit on February 12th at the Island Marriott. The event features and discusses the results of the AVZ 2014-2015 LI Economic Survey & Opinion Poll, which focuses on Long Island business community issues, including new legislation, the housing market, job growth, confidence ratings, and availability of credit to businesses. To attend and learn more visit here

Campolo, Middleton & McCormick, LLP

4175 Veterans Memorial Highway, Suite 400
Ronkonkoma, New York 11779

2495 Montauk Highway
Bridgehampton, New York 11932

Phone: (631) 738-9100
Fax: (631) 738-0659