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Matter of Wind v. First Rockaway Coast Corp.

Appellate Division of the Supreme Court of New York, Second Department
Feb 16, 1993
190 A.D.2d 811 (N.Y. App. Div. 1993)

Opinion

February 16, 1993

Appeal from the Supreme Court, Queens County (Smith, J.).


Ordered that the judgment is affirmed, with costs.

The principal asset of the corporation was a 43-unit apartment building in Rockaway Park, in Queens County. At a hearing to determine the fair market value of the property, experts for both parties used the income capitalization method of appraisal. The Supreme Court rejected the appellants' appraisal of $680,000, and accepted the petitioner's amended appraisal of $1,182,000. The court reasoned that while appellants' expert relied on expense figures provided by counsel, the petitioner's expert based his appraisal on actual expense figures for 1988. Finding the net asset value of the corporation to be $1,182,000, the court awarded the petitioner the principal sum of $443,368, representing the petitioner's 37.51% interest in the corporation. The court also awarded 9% interest from April 6, 1989.

The Supreme Court did not improvidently exercise its discretion in accepting the petitioner's appraisal and rejecting that of the appellants. It is within the discretion of the court to accept, reject, or assign weight to either party's appraisal, and the petitioner's expert sufficiently explained the basis of his opinion (see, Hoyt v Hoyt, 166 A.D.2d 800, 801-802; cf., Matter of Willowbrook Assocs. v Finance Adm'r of City of N.Y., 77 A.D.2d 901, 903-904). In addition, while the net asset value of the corporation typically would have reflected liabilities, no such evidence was submitted at the hearing.

We also find no basis for disturbing the interest award. The Supreme Court, in its discretion, had authority to grant interest running from the date that the petition was filed (see, Business Corporation Law § 1118 [b]). Contrary to the appellants' contention, the record does not contain evidence that the petitioner received his proportionate share of profits during the pendency of this proceeding.

We have considered the appellants' remaining contentions and find them to be without merit. Sullivan, J.P., O'Brien, Pizzuto and Santucci, JJ., concur.


Summaries of

Matter of Wind v. First Rockaway Coast Corp.

Appellate Division of the Supreme Court of New York, Second Department
Feb 16, 1993
190 A.D.2d 811 (N.Y. App. Div. 1993)
Case details for

Matter of Wind v. First Rockaway Coast Corp.

Case Details

Full title:In the Matter of WALTER WIND, Respondent, v. FIRST ROCKAWAY COAST…

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

Date published: Feb 16, 1993

Citations

190 A.D.2d 811 (N.Y. App. Div. 1993)
593 N.Y.S.2d 567

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