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SLOAN v. CLARK

18 N.Y.2d 570 (1966)

Michael Sloan et al., Appellants, v. Howard L. Clark, as President of American Express Company, Respondent. Gladys Q. Knapp et al., Appellants, v. Howard L. Clark, as President of American Express Company, Respondent.

Court of Appeals of the State of New York.

Decided December 30, 1966.

Attorney(s) appearing for the Case

Max Freund, Jerome E. Sharfman and Joseph Zuckerman for appellants.

Peter H. Kaminer, Marie L. McCann and Maurice N. Nessen for respondent.

Chief Judge DESMOND and Judges VAN VOORHIS, SCILEPPI, BERGAN and KEATING concur; Judge FULD taking no part.

BURKE, J.

Plaintiffs in each of these actions are limited partners of Ira Haupt & Co. The Haupt partnership went into bankruptcy because of its inability to meet its obligations on large loans made to Allied Crude Vegetable Oil Refining Co. upon the strength of warehouse receipts allegedly issued by defendant American Express Company (Amexco) through a wholly owned subsidiary. Plaintiffs sued Amexco contending...

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