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RAPOPORT v. SCHNEIDER

29 N.Y.2d 396 (1972)

David Rapoport et al., Individually, as Directors and as Stockholders of New York Equities, Inc., Appellants, v. Irving Schneider et al., Respondents.

Court of Appeals of the State of New York.

Decided January 13, 1972.

Attorney(s) appearing for the Case

Murray I. Sommer for appellants.

Edward L. Sadowsky for Irving Schneider, Seaton M. Scott and Frank Winter, respondents.

Benjamin Gassman and Sidney O. Raphael for Harris Klein, Irving Klein and New York Equities, Inc., respondents.

Chief Judge FULD and Judges BURKE, SCILEPPI, BERGAN, JASEN and GIBSON concur.

BREITEL, J.

Plaintiffs, in their status both as directors and stockholders, brought this derivative action on behalf of the corporation against other directors to prevent the allegedly improper payment of a duplicate claim for real estate commissions and for an accounting. Plaintiffs appeal from the dismissal of the first cause of action alleged in their status as directors. The issues are the invalidity of the...

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