Implied Covenant of Good Faith and Fair Dealing Cases New York
In New York, all contracts imply a covenant of good faith and fair dealing in the course of performance (511 W. 232nd Owners Corp. v. Jennifer Realty Co., 98 NY2d 144, 153, 773 N.E.2d 496, 746 N.Y.S.2d 131 ).
"This embraces a pledge that neither party shall do anything which will have the effect of destroying or injuring the right of the other party to receive the fruits of the contract" (Dalton v. Educ. Testing Serv., 87 NY2d 384, 389, 663 N.E.2d 289, 639 N.Y.S.2d 977 ).
However, a cause of action for breach of the duty of good faith and fair dealing "will be dismissed as redundant where the conduct allegedly violating the implied covenant is also the predicate for a claim for breach of covenant of an express provision of the underlying contract" (Engelhard Corp. v. Research Corp., 268 AD2d 358, 702 N.Y.S.2d 255 [1st Dept 2000]).