Legal Question in Bankruptcy in New York

We are a non profit, incorporated in NYC. I just joined the board to find out we have a contract with a company that costs 32K a year (for two more years) and we have no income and under 2K in the bank account and no assets. We have reached out to the company to tell them our situation and give them our remaining balance and have them write off the rest but they are not willing to do so. If we move forward with dissolution will this resolve this debt? Are there any pitfalls to be aware of trying to dissolve the org in NYC? We obviously don't have enough funds to get legal help in doing so.

Asked on 5/28/20, 8:58 am

1 Answer from Attorneys

Rajiv Chandhok Ph: +919810050896

All that company may do is file a Contact law case praying for the performance of the contract. Under New York contract law, specific performance can be awarded under the following circumstances:

1. When the amount of damages is difficult to determine

2.When the subject matter of the contract is unique

3.When there is a lack of established market value

You have not provided us the details, nature of your contract, However let me inform you if he is not covered in the aforesaid circumstances. He cannot harm you and you may proceed with the dissolution.

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Answered on 6/03/20, 12:51 am

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