Unincorporated Corporation’s Failure to Sue Through a Representative Curable Error

On September 24, 2024, Justice Ruchelsman of the Kings County Commercial Division issued a decision in Waterview Condominium LLC v. Indig, 2024 NY Slip Op. 33366(U), holding that an unincorporated corporation’s failure to sue through a representative was a curable error, explaining:

First, the respondents argue the petitioner lacks standing to pursue the petition since it is an unincorporated association.

It is true that generally unincorporated associations cannot sue or be sued since they are not really legal entities separate from its members. Thus, lawsuits against such entities must also include the president or treasurer of the unincorporated association. When the unincorporated association initiates any action or proceeding it must be initiated by the president or treasurer. However, any action or proceeding can be brought by anyone who is the functional equivalent of a president or treasurer. Furthermore, the mere fact the action was filed in the name of the unincorporated association and not an individual with the functional equivalent of the president or treasurer is not fatal and can be corrected. Indeed, any error regarding the pleadings is merely procedural and not jurisdictional and can be amended. This is especially true where no prejudice has accrued to any party as a result of the name listed on the pleadings. Thus, a corrected pleading naming proper parties surely satisfies the requirements ‘necessary to consider the motion.

(Internal quotations and citations omitted).

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