In this action by plaintiff Technology Finance Group, Inc. against defendant Grumman Data Systems Corporation for breach of an alleged agreement to lease two IBM computer systems from plaintiff Technology for a period of five years at a combined rental in excess of $10,000,000, we find that the complaint was properly dismissed for lack of a binding contract between the parties.
Specifically, the correspondence exchanged by the parties expressed an intention not to be contractually bound unless certain specific documents were executed and until their preliminary negotiations had culminated in the execution of a formal lease agreement. The record reveals that neither of these prerequisites for contractual liability was, in fact, satisfied (Beck v New York News, 61 N.Y.2d 620; Scheck v Francis, 26 N.Y.2d 466, 469; Brause v Goldman, 10 A.D.2d 328, 332, affd 9 N.Y.2d 620).
Concur — Ross, J.P., Carro, Asch and Rubin, JJ.