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Matter of Mariello v. Sovran Group, Inc.

Appellate Division of the Supreme Court of New York, Fourth Department
Jul 12, 1989
152 A.D.2d 1007 (N.Y. App. Div. 1989)

Opinion

July 12, 1989

Appeal from the Supreme Court, Erie County, Rath, J.

Present — Denman, J.P., Boomer, Green, Lawton and Davis, JJ.


Order unanimously affirmed with costs. Memorandum: Special Term correctly held that the stock sale and repurchase provisions of the parties' shareholders' agreement, which were triggered by petitioner's termination from employment, do not, as a matter of law, bar petitioner's proceeding to dissolve the corporation pursuant to Business Corporation Law § 1104-a. Because the agreement does not explicitly provide that the stock sale and repurchase provisions are the exclusive remedy available to a minority shareholder, a question of fact exists whether the "fair return on * * * investment" requirement of Business Corporation Law § 1104-a (b) (1) has been met (see, Matter of Pace Photographers [Rosen], 71 N.Y.2d 737, 747-748).


Summaries of

Matter of Mariello v. Sovran Group, Inc.

Appellate Division of the Supreme Court of New York, Fourth Department
Jul 12, 1989
152 A.D.2d 1007 (N.Y. App. Div. 1989)
Case details for

Matter of Mariello v. Sovran Group, Inc.

Case Details

Full title:In the Matter of RONALD C. MARIELLO, Respondent, v. SOVRAN GROUP, INC.…

Court:Appellate Division of the Supreme Court of New York, Fourth Department

Date published: Jul 12, 1989

Citations

152 A.D.2d 1007 (N.Y. App. Div. 1989)