73 A.D.2d 869, *; 423 N.Y.S.2d 663;
1980 N.Y. App. Div. LEXIS 9770, **
Michael Florence et al., Doing Business as National Record Plan,
Respondents, v. Merchants Central Alarm Co., Inc., Appellant
[NO NUMBER IN ORIGINAL]
Supreme Court of New York, Appellate Division, First Department
73 A.D.2d 869; 423 N.Y.S.2d 663; 1980 N.Y. App. Div. LEXIS 9770
January 15, 1980
JUDGES: [**1]
Concur -- Bloom, J. P., Markewich, Silverman and Ross, JJ.
OPINION: [*869] Order, Supreme Court, New York County, entered November 3,
1978, which denied defendant-appellant's motion for summary judgment,
unanimously reversed, on the law, and the motion for summary judgment is
granted limiting defendant's liability to $ 50, and judgment may be entered
for that amount, with interest, and without costs and disbursements.
Plaintiffs entered into an agreement with defendant Merchants whereby the
latter installed a police alarm transmitter to be connected to a burglar
alarm system furnished by another entity not a party to the action. The
agreement [*870] provided that defendant's liability was limited to $ 50
as liquidated damages, in the event the system failed to work properly.
Thereafter, the system malfunctioned and a burglary occurred, as a result of
which plaintiffs suffered substantial loss. This suit to recover the loss
followed. Thereupon defendant moved to limit its liability to the sum of $
50 and for entry of judgment in favor of plaintiffs for that amount. Special
Term denied the motion. We have hitherto indicated that a clause such as
that contained in the contract [**2] now before us which limited the
liability of the installer was effective to bar greater liability on the
part of the defendant than that specified in the agreement between the
parties (H. G. Metals v Wells Fargo Alarm Servs., 45 AD2d 490). Accordingly,
summary judgment should have been granted to the extent sought by defendant.
Settle order.