Extended Search
Generic filters
Exact matches only
Search in title
Search in content
Search in excerpt
Search in comments
Filter by Custom Post Type
Extended Search
Generic filters
Exact matches only
Search in title
Search in content
Search in excerpt
Search in comments
Filter by Custom Post Type

Board of Mgrs. of the Gansevoort Condominium v. 325 W. 13th, LLC – Case Brief Summary (New York)

In Board of Mgrs. of the Gansevoort Condominium v. 325 W. 13th, LLC (121 AD3d 554, 993 N.Y.S.2d 901 [1st Dept 2014]), the First Department concluded that allegations that a condominium sponsor was a single-purpose entity, undercapitalized, dominated by its parent company, and intermingled assets with the parent were insufficient to hold the parent company liable on an alter ego theory for plaintiff's claims arising from alleged construction defects.

In that case, the plaintiff had alleged that the parent and the sponsor used common office space, the same telephone numbers and the same email account.

The First Department held that this was insufficient to allege alter ego liability and that the plaintiff's "failure to allege that [the parent] operated through the sponsor as an instrument of wrongdoing is fatal to its alter ego claim," and the claim that the sponsor had transferred all of the unit sale proceeds to the parent was not sufficient for this purpose (121 AD3d at 555.)