New Castle Siding Co. v. Wolfson, 97 A.D.2d 501 (N.Y. App. Div. 1983). · Go Syfert
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New Castle Siding Co. v. Wolfson, 97 A.D.2d 501 (N.Y. App. Div. 1983). Cases Citing This Book View Copy Cite
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cited 2× by 2 distinct cases, last quoted 2007 · …duty owing to the shareholder from the wrongdoer, having its origin in circumstances independent of and extrinsic to the corporate entity at p. 21 ✓
cited 2× by 2 distinct cases · …the fact that an individual closely affiliated with a corporation (for example, a principal shareholder, or even a sole shareholder) is incidentally injured by an injury to the corporation does not confer on the injured individual standing to sue. ✓
cited 2× by 2 distinct cases, last quoted 2007 · …the violation of a duty owing to ... him from the wrongdoer, having its origin in circumstances independent of and extrinsic to the corporate entity. ✓
56 citation events (38 in the last 25 years) across 8 distinct courts.
Strongest positive: Egorchenko v. Paul (nysupctnewyork, 2024-10-22)
Treatment trajectory · 1984 → 2026 · click a year to view as-of
1984 2005 2026
Top citers, strongest first. 14 distinct citers. How cited ↗
discussed Cited as authority (rule) Egorchenko v. Paul
N.Y. Sup. Ct., New York Cty. · 2024 · confidence medium
"This is true regardless of the level of the shareholders' interest in the corporation: 'The fact that an individual closely affiliated with a corporation (for example, a principal shareholder, or even a sole shareholder), is incidentally injured by an injury to the corporation does not confer on the injured individual standing to sue on the basis of either that indirect injury or the direct injury to the corporation."' MatlinPatterson ATA Holdings LLC v Federal Express Corp., 87 AD3d 836, 839 (1 st Dept. 2011), quoting New Castle Siding Co. v Wolfson, 97 AD2d 501, 502 (2 nd Dept. 1983); see U…
cited Cited as authority (rule) Enzo Biochem, Inc. v. Harbert Discovery Fund, LP
S.D.N.Y. · 2021 · confidence medium
Sept. 26, 2016) (internal quotations omitted) (citing New Castle Siding Co., Inc. v. Wolfson, 468 N.Y.S.2d 20, 21 (N.Y.
discussed Cited as authority (rule) Patterson v. Calogero
N.Y. App. Div. · 2017 · confidence medium
The fact that an individual closely affiliated with a corporation is incidentally injured by an injury to the corporation does not confer on the injured individual standing to sue on the basis of either that indirect injury or the direct injury to the corporation (see New Castle Siding Co. v Wolfson, 97 AD2d 501, 502 [1983]).
discussed Cited as authority (rule) Nature's Plus Nordic A/S v. Natural Organics, Inc.
E.D.N.Y · 2013 · confidence medium
The fact that an individual closely affiliated with a corporation (for example, a principal shareholder, or even a sole shareholder), is incidentally injured by an injury to the corporation does not confer on the injured individual standing to sue on the basis of either that indirect injury or the direct injury to the corporation New Castle Siding Co., Inc. v. Wolfson, 97 A.D.2d 501, 502 , 468 N.Y.S.2d 20, 21 (2d Dep’t 1983) (internal citations omitted) aff'd, 63 N.Y.2d 782 , 481 N.Y.S.2d 70 , 470 N.E.2d 868 (1984); see also In re Beck Indus., Inc., 479 F.2d 410 , 418 (2d Cir.1973) (“Where…
discussed Cited as authority (rule) MatlinPatterson ATA Holdings LLC v. Federal Express Corp.
N.Y. App. Div. · 2011 · confidence medium
As a threshold matter, corporations, such as ATA, exist independently from their shareholders, and in many cases, “an individual shareholder cannot secure a personal recovery for an alleged wrong done to a corporation” (New Castle Siding Co. v Wolfson, 97 AD2d 501, 502 [1983], affd 63 NY2d 782 [1984]; see Elghanian v Harvey, 249 AD2d 206, 207 [1998]; EJS-Assoc Ticaret Ve Danismanlik Ltd.
discussed Cited as authority (rule) Baccash v. Sayegh
N.Y. App. Div. · 2008 · confidence medium
Although it is undisputed that the plaintiff is Bridal Couture’s sole officer and shareholder, a corporation has a separate legal existence from its shareholders even where the corporation is wholly owned by a single individual (see Harris v Stony Clove Lake Acres, 202 AD2d 745, 747 [1994]; see also Rohmer Assoc., Inc. v Rohmer, 36 AD3d 990 [2007]; Winkler v Allvend Indus., 186 AD2d 732, 734 [1992]; New Castle Siding Co. v Wolfson, 97 AD2d 501, 502 [1983], affd 63 NY2d 782 [1984]).
discussed Cited as authority (rule) Henneberry v. Sumitomo Corp. of America (2×) also: Cited "see"
S.D.N.Y. · 2007 · confidence medium
Plaintiff’s Standing to Plead Promissory Estoppel Again, Henneberry has standing to maintain his promissory estoppel claim against defendants to the extent he adequately pleads injuries resulting from “the violation of a duty owing to ... [him] from the wrongdoer, having its origin in circumstances independent of and extrinsic to the corporate entity.” New Castle Siding Co. v. Wolfson, 97 A.D.2d 501 , 468 N.Y.S.2d 20, 21 (App.Div.1983).
examined Cited as authority (rule) Henneberry v. Sumitomo Corp. of America (8×) also: Cited "see"
S.D.N.Y. · 2006 · confidence medium
Id. (citing New Castle Siding Co., Inc. v. Wolfson, 97 A.D.2d 501 , 468 N.Y.S.2d 20, 21 (App.Div.1983)).
discussed Cited as authority (rule) Solutia Inc. v. FMC Corp. (2×) also: Cited "see"
S.D.N.Y. · 2005 · confidence medium
Corp. v. Niagara Permanent Sav. & Loan Assoc., 58 A.D.2d 177, 179 , 396 N.Y.S.2d 925, 927 (4th Dep’t 1977) (citation omitted); accord Abrams v. Donati, 66 N.Y.2d 951, 953 , 498 N.Y.S.2d 782 , 489 N.E.2d 751 (1985) (“For a wrong against a corporation a shareholder has no individual cause of action, though he loses the value of his investment or incurs personal liability in an effort to maintain the solvency of the corporation.”); New Castle Siding Co. v. Wolfson, 97 A.D.2d 501, 502 , 468 N.Y.S.2d 20, 20 (2d Dep’t 1983); Paulson v. Margolis, 234 A.D. 496, 498 , 255 N.Y.S. 568, 571 (1st D…
discussed Cited as authority (rule) Memon v. Allied Domecq, QSR
S.D. Tex. · 2003 · confidence medium
“The fact that an individual closely affiliated with a corporation (for example, a principal shareholder, or even a sole shareholder), is incidentally injured by an injury to the corporation does not confer on the injured individual standing to sue on the basis of either that indirect injury or the direct injury to the corporation....” Id. (quoting New Castle Siding Co. v. Wolfson, 97 A.D.2d 501 , 468 N.Y.S.2d 20, 21 (N.Y.App.Div.1983)).
cited Cited as authority (rule) James C. Thomas, Individually, and as Trustee of the Slt Trust 1 v. N.A. Chase Manhattan Bank
5th Cir. · 1993 · confidence medium
New Castle Siding Co. v. Wolfson, 97 A.D.2d 501, 502 , 468 N.Y.S.2d 20, 21 (N.Y.App.Div.1983) (50% shareholder attempted to sue defendant for breach of contract between defendant and corporation).
discussed Cited as authority (rule) Powers v. Ostreicher
S.D.N.Y. · 1993 · confidence medium
However “[ujnder New York law, a shareholder may bring an individual suit if the defendant has violated an independent duty to the shareholder, whether or not the corporation may also bring action.” Ceribelli v. Elghanayan, 990 F.2d 62, 63 (2d Cir.1990) (citing Abrams and Fifty States Management Corp.); see also Vincel v. White Motor Corp., 521 F.2d at 1118 (“[tjhere are ... exceptions to [the rule barring shareholder suits] that stem from the nature of the wrong alleged or a special relationship between the suing shareholder and the defendant creating a duty, contractual or otherwise, o…
discussed Cited "see" O'Connor v. Metro Management Development, Inc.
N.Y. App. Div. · 2015 · signal: see · confidence high
The holding of Strauss v Belle Realty Co. is applicable in this case because the lessee of a proprietary lease in an apartment cooperative “is in much the same position as any other tenant under the usual leasing arrangement,” and, furthermore, “a tenant/shareholder’s ownership interest in the cooperative corporation does not give him [or her] an individual right to recover for breach of the corporation’s contract” (Goldstein v Consolidated Edison Co. of N.Y., 115 AD2d at 39, 40 ; see New Castle Siding Co. v Wolfson, 97 AD2d 501 [1983], affd 63 NY2d 782 [1984]).
discussed Cited "see" Jacobs v. Life Insurance Co. of North America (2×)
S.D.N.Y. · 1989 · signal: see · confidence high
See New Castle Siding Co. v. Wolfson, 97 A.D.2d 501 , 468 N.Y.S.2d 20 (2d Dep’t 1983).
Retrieving the full opinion text from the archive…
New Castle Siding Company, Inc.
v.
Horace Wolfson, and Waynett A. Sobers, Jr., and David Smith
Appellate Division of the Supreme Court of the State of New York.
Oct 24, 1983.
97 A.D.2d 501
1983 N.Y. App. Div. LEXIS 20098
Cited by 29 opinions  |  Published

Appeals by additional defendant Smith (1) from an order of the Supreme Court, Westchester County (Rosenblatt, J.), dated November 16, 1982, which denied his motion to dismiss a cross claim asserted against him by defendant Sobers for failure to state a cause of action and (2), as limited by his brief, from so much of an order of the same court, dated April 4,1983, as, upon reargument, adhered to the original determination. Appeal from the order dated November 16, 1982, dismissed. That order was superseded by the order[*502] dated April 4, 1983, made upon reargument. Order dated April 4, 1983 reversed, insofar as appealed from; order dated November 16, 1982 vacated, motion granted and the cross claim of defendant Sobers against appellant dismissed. Appellant is awarded one bill of costs. Sobers, a 50% shareholder in the New Castle Siding Company, Inc., concedes that Smith’s contract to perform accounting services was with the corporation and not with him as an individual. Generally, corporations have an existence separate and distinct from that of their shareholders (Billy v Consolidated Mach. Tool Corp., 51 NY2d 152), and an individual shareholder cannot secure a personal recovery for an alleged wrong done to a corporation (Fifty States Mgt. Corp. v Niagara Permanent Sav. & Loan Assn., 58 AD2d 177; Empleton v D’Elia Gemstones Corp., 46 AD2d 751; Vincel v White Motor Corp., 521 F2d 1113; Fleischer v Paramount Pictures Corp., 329 F2d 424, cert den 379 US 835). The fact that an individual closely affiliated with a corporation (for example, a principal shareholder, or even a sole shareholder), is incidentally injured by an injury to the corporation does not confer on the injured individual standing to sue on the basis of either that indirect injury or the direct injury to the corporation (Fifty States Mgt. Corp. v Niagara Permanent Sav. & Loan Assn., supra; Green v Victor Talking Mach. Co., 24 F2d 378, cert den 278 US 602). Where, however, for example, it appears that the injury to a shareholder resulted from the violation of a duty owing to the shareholder from the wrongdoer, having its origin in circumstances independent of and extrinsic to the corporate entity, an ■individual cause of action may exist for a shareholder of an allegedly wronged corporation (Shapolsky v Shapolsky, 53 Misc 2d 830, affd 28 AD2d 513; cf. Fifty States Mgt. Corp. v Niagara Permanent Sav. & Loan Assn., supra). There is no indication that such an independent duty exists as between Smith and Sobers. Therefore, Sobers does not have an individual cause of action against Smith and the cross claim against Smith must be dismissed. Mollen, P. J., Damiani, Mangano and Gulotta, JJ., concur.