GIAIMO v. EGA ASSOCIATES INC.

1777, 113575/07

68 A.D.3d 523 (2009)

2009 NY Slip Op 9277

891 N.Y.S.2d 49

ROBERT T. GIAIMO, Appellant, v. EGA ASSOCIATES INC. et al., Respondents.

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

Decided December 15, 2009.


The transfer restrictions printed on the back of the share certificates should have been enforced (see Matter of Penepent Corp., 96 N.Y.2d 186, 192 [2001]; Gallagher v Lambert, 74 N.Y.2d 562, 567 [1989]; UCC 8-204). The restrictions prohibit the transfer of shares without granting the corporation 30 days' written notice and the first option to purchase the shares. The corporation was owned...

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