Bischoff v. Boar's Head Provisions Co.
Opinion of the Court
Order, Supreme Court, New York County (Richard B. Lowe, III, J.), entered September 26, 2006, which denied defendants’ motion to dismiss the complaint, unanimously affirmed, with costs.
We have recently held that a member of a limited liability company retains the common-law right to bring a derivative suit on behalf of the company (see Tzolis v Wolff, 39 AD3d 138 [2007]). We thus reject defendants’ assertion that plaintiff lacks standing to assert derivative claims on behalf of nominal defendant Frank Brunckhorst Co., L.L.C. (FB Co).
The complaint states a valid cause of action for breach of contract based on a violation of the operating agreement of FB Co. Plaintiff alleges that the individual defendants violated that agreement’s prohibition on unfair related-party transactions
Case-law data current through December 31, 2025. Source: CourtListener bulk data.