---
title: New York Court of Appeals Decision Recognizes Pre-Default Negligence Claim Against Indenture Trustees
date: 2008-07-30T00:00:00-04:00
author: Import Bot
canonical_url: "https://www.kelleydrye.com/viewpoints/client-advisories/new-york-court-of-appeals-decision-recognizes-pre-default-negligence-claim-against-indenture-trustees"
section: Client Advisories
---
# New York Court of Appeals Decision Recognizes Pre-Default Negligence Claim Against Indenture Trustees

 July 30, 2008

Kelley Drye Client Advisory

 

 

 

 

 

 

Kelley Drye’s [Litigation ](/Our-Practices/Litigation-and-Investigations/Litigation)and Corporate Trust practices have issued a client advisory discussing the duties of indenture trustees under New York law. On June 25, 2008, in a departure from prior law, the New York Court of Appeals held that ​“an indenture trustee owes a duty to perform its ministerial functions with due care, and if this duty is breached the trustee will be subjected to tort liability.”

 

 

 - Share this entry 
    - 
    - 
    - 
    -
- [  View entry pdf ](https://s3.amazonaws.com/cdn.kelleydrye.com/content/uploads/pdf-snapshots/new-york-court-of-appeals-decision-recognizes-pre-default-negligence-claim-against-indenture-trustees-20230614093333.pdf)
 
 

### Attachments

- [New York Court of Appeals Decision Recognizes Pre Default Negligence Claim Against Indenture Trustee](https://s3.amazonaws.com/cdn.kelleydrye.com/content/uploads/attachments/New-York-Court-of-Appeals-Decision-Recognizes-Pre-Default-Negligence-Claim-Against-Indenture-Trustee.pdf)
 
 

### Related Services

- [Litigation](https://www.kelleydrye.com/practices/litigation)
 
 

  Blog

 [  ![](https://d3iuizmsm2hayf.cloudfront.net/content/uploads/Listing-rectangles/Blog_Post_Listing.svg) ![](https://d3iuizmsm2hayf.cloudfront.net/content/uploads/Listing-Images/adlaw_billboard_listing.webp?auto=compress%2Cformat&crop=focalpoint&fit=crop&fp-x=0.5&fp-y=0.5&h=750&q=80&w=1125&s=e1a7aebcee8115938489d6575321e698) 

  ](https://www.kelleydrye.com/viewpoints/blogs/ad-law-access/nad-continues-to-examine-influencer-campaigns) 

Ad Law Access

 July 27, 2026

 [  ](https://www.kelleydrye.com/viewpoints/blogs/ad-law-access/nad-continues-to-examine-influencer-campaigns) 

 

 

 

 Blog

 [  ![](https://d3iuizmsm2hayf.cloudfront.net/content/uploads/Listing-rectangles/Blog_Post_Listing.svg) ![](https://d3iuizmsm2hayf.cloudfront.net/content/uploads/Listing-Images/adlaw_billboard_listing.webp?auto=compress%2Cformat&crop=focalpoint&fit=crop&fp-x=0.5&fp-y=0.5&h=750&q=80&w=1125&s=e1a7aebcee8115938489d6575321e698) 

  ](https://www.kelleydrye.com/viewpoints/blogs/ad-law-access/hawaii-enacts-a-synthetic-performer-law) 

Ad Law Access

 July 26, 2026

 [  ](https://www.kelleydrye.com/viewpoints/blogs/ad-law-access/hawaii-enacts-a-synthetic-performer-law)