INVESTORS SAVINGS BANK v. WALDO JERSEY CITY, LLC, ET AL.
A-6201-09T3Plaintiff commenced this action, seeking damages based upon defendants' alleged default on a loan agreement; defendants filed a counterclaim, alleging plaintiff's material breach of the loan agreement. The trial judge dismissed the counterclaim by enforcing a contract provision, which proclaimed the loan agreement was to be "free from any right of setoff, counterclaim or other defense." Because this waiver provision was not intended to extinguish defendants' claims -- only relegate them to a separate suit -- the court found it conflicted with the rules of procedure and was, thus, unenforceable. 2-17-11
