MARSHALL INVESTMENTS CORPORATION v. HARRAH'S OPERATING COMPANY, INC.

4138, 102512/08.

82 A.D.3d 515 (2011)

918 N.Y.S.2d 451

MARSHALL INVESTMENTS CORPORATION et al., Appellants, v. HARRAH'S OPERATING COMPANY, INC., as Successor to CAESAR'S ENTERTAINMENT INC., Formerly Known as PARK PLACE ENTERTAINMENT CORPORATION et al., Respondents.

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

Decided March 15, 2011.


The subject pledge agreement did not constitute a management contract which required the approval of the National Indian Gaming Commission (25 CFR 502.15; cf. Machal, Inc. v Jena Band of Choctaw Indians, 387 F.Supp.2d 659, 666-667 [2005]). However, because it changes the Tribe's obligations, requiring them to make payments into escrow, and alters their liabilities, giving the right to sue and a veto over certain modifications...

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