Arnold College for Hygiene, Etc. v. Danaher

This is an appeal from certain assessments of contributions covering the period from the third quarter of 1941 to the second quarter of 1943, inclusive, made against the plaintiff by the Unemployment Compensation Commissioner. The principal question involved is as to whether the plaintiff is “a corporation.... organized and operated exclusively for.... educational purposes...., no part of the net earnings of which inures to the benefit of any private shareholder or individual”, and therefore exempt from the Unemployment Compensation Act. (Supp. [1939] §1335e.)

The plaintiff was incorporated in…