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79TH ST. TENANTS CORP. v. BROWN, HARRIS, STEVENS, INC.

227 A.D.2d 149 (1996)

642 N.Y.S.2d 21

79TH Street Tenants Corp., Appellant, v. Brown, Harris, Stevens, Inc., Respondent

Appellate Division of the Supreme Court of the State of New York, First Department.

May 7, 1996

In calling a special shareholders' meeting, plaintiffs' board of directors advised the shareholders that they were to vote on amending their proprietary leases to provide for a new flip tax. The procedure employed by the board was flawed in that the First Amendment to the Offering Plan specifically provided that any increase in the flip tax would only be permitted by amendment to the by-laws voted on by the shareholders. Thus,...

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