Category: Derivative Actions

On April 16, 2026, Justice Boddie of the Kings County Commercial Division issued a decision in Hangquin Huang v. 40-70 Realty LLC, 2026 NY Slip Op. 31773(U), holding that mixing direct and derivative claims in a complaint is no basis for dismissal so long as the individual claims are not mixed . . . Continue reading Mixing Direct and Derivative Claims in a Complaint is no Basis for Dismissal so Long as Individual Claims are not Mixed

On April 22, 2026, Justice Masley of the New York County Commercial Division issued a decision in Mayer v. Goldner, 2026 NY Slip Op. 31753(U), holding that demand futility in a derivative action must be alleged in the complaint and not just in the opposition to the motion to dismiss . . . Continue reading Derivative Action Demand Futility Must be Alleged in Complaint, Not Just in Opposition to Motion to Dismiss

On September 8, 2025, Justice Cohen of the New York County Commercial Division issued a decision in James Thomas Realty, LLC v Cheliotes, 2025 NY Slip Op. 33365(U), holding that there is no right to a jury trial in a derivative action . . . Continue reading No Jury Trial in Derivative Action

On August 6, 2024, Justice Ruchelsman of the Kings County Commercial Division issued a decision in Kordonsky v. Brudoley, 2024 NY Slip Op. 32768(U), holding that demand futility allegations in a derivative action were sufficiently specific based on the totality of the allegations . . . Continue reading Demand Futility Allegation Sufficiently Specific Based on Totality of Allegations

On December 14, 2023, Justice Murphy of the Nassau County Commercial Division issued a decision in Parizat v. Meron, 2023 NY Slip Op. 34587(U), ordering the production of tax returns despite the heavy burden of justifying their production . . . Continue reading Court Orders Production of Tax Returns Despite Heavy Burden of Justifying Production

On July 12, 2023, Justice Masley of the New York County Commercial Division issued a decision in Nusimow v. Pinchevsky, 2023 NY Slip Op. 32345(U), holding that when an entity has no board, pre-suit demand before bringing a derivative action is futile . . . Continue reading When Entity Has No Board, Pre-Suit Demand Before Bringing a Derivative Action is Futile

On June 22, 2023, the First Department issued a decision in Haussmann v. Baumann, 2023 NY Slip Op. 03407, holding that the internal affairs doctrine barred a derivative action . . . Continue reading Derivative Action Barred by Internal Affairs Doctrine

On June 1, 2023, the First Department issued a decision in Ezrasons, Inc. v. Rudd, 2023 NY Slip Op. 02938, holding that the internal affairs doctrine applies to the choice of law governing standing in derivative actions . . . Continue reading Internal Affairs Doctrine Applies to Choice of Law Governing Standing in Derivative Actions