Legal Opinion

Schmidt v. A. M. Schwartz Building & Construction Co.

Appellate Division of the Supreme Court of the State of New York

Decided June 12, 1931PublishedCited by 2 opinions

1Opinion of the CourtMcAvoy, J.

We think that these defendants, respondents, may not be made parties to defend the foreclosure action, and that their answer should be struck out. If the defendant corporation is permitting a judgment to be taken without cause, the stockholders may, by such equitable or statutory remedy as may be granted, restrain the prosecution of the cause on a showing of conspiracy to defraud them on the part of plaintiff and the corporate defendant.

The order granting motion of respondents to be made parties defendant and to interpose a defense should be reversed, with ten dollars costs and disbursements…

2Cited by2 opinions

  1. Wile v. Burns Bros.Appellate Division of the Supreme Court of the State of New York · 1933
  2. Reiner v. KaneAppellate Division of the Supreme Court of the State of New York · 1959

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