Navigating the One-Action Rule in New York | Practical Law

Navigating the One-Action Rule in New York | Practical Law

A Practice Note discussing New York's election of remedies rule (also known as the one-action rule). This Note specifically examines the requirement that a lender must first choose between a foreclosure action or a suit to enforce a personal obligation when attempting to recover on a defaulted loan secured by real property collateral. It also addresses the limitations on the lender's ability to use its remedies simultaneously, the foreclosure process, and other considerations.

Navigating the One-Action Rule in New York

Practical Law Practice Note w-001-4349 (Approx. 12 pages)

Navigating the One-Action Rule in New York

by Practical Law Real Estate
MaintainedNew York
A Practice Note discussing New York's election of remedies rule (also known as the one-action rule). This Note specifically examines the requirement that a lender must first choose between a foreclosure action or a suit to enforce a personal obligation when attempting to recover on a defaulted loan secured by real property collateral. It also addresses the limitations on the lender's ability to use its remedies simultaneously, the foreclosure process, and other considerations.