Hornstein v. Podwitz

In Hornstein v. Podwitz, 254 NY 443 (1930), the plaintiff's complaint alleged that, acting as a broker, he procured the defendant purchasers for a property at the price and on the terms specified by the defendant owners and a written contract of sale was executed by the parties (254 NY 446). The complaint further alleged that: "Tenth. Upon information and belief that the defendants conspired together and entered into an agreement wherein and whereby they sought to deprive this plaintiff of the commissions to which he was entitled by reason of such sale and agreed among themselves to withhold from plaintiff the fact that such sale had been made and to deprive plaintiff of the commissions to which he was entitled by reason of such sale . . ." (id.) The Court of Appeals, inter alia, reversed the Appellate Division's dismissal of the complaint on the ground that it failed to state a cause of action, and held that the complaint was sufficiently pled, despite being "inartfully drawn." Furthermore, the Court of Appeals also held that the individual defendants could be held liable for unlawfully, intentionally, knowingly, and without reasonable justification or excuse, inducing a breach of the broker's contract with profit to the defendant and damages to the plaintiff broker.