J.H. ELECTRIC OF NEW YORK, INC. v. ANCHOR CONSTRUCTION, INC.


291 A.D.2d 241 (2002)

736 N.Y.S.2d 878

J.H. ELECTRIC OF NEW YORK, INC., Respondent, v. ANCHOR CONSTRUCTION, INC., et al., Appellants.

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

Decided February 7, 2002.


The court properly imposed liability on all defendants for their participation in diverting funds subject to a Lien Law trust (see, Lien Law § 70 et seq.). There was sufficient evidence of the overlapping relationship between defendant contracting corporations to support findings that both of said corporations were in contractual privity with plaintiff, and thus that both corporations were statutory trustees of funds received by them for work on the subject...

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