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Smith v. Gross, Shuman, Brizdle Gilfillan

Appellate Division of the Supreme Court of New York, Fourth Department
Apr 29, 1998
249 A.D.2d 893 (N.Y. App. Div. 1998)

Opinion

April 29, 1998

Appeal from the Supreme Court, Erie County, Whelan, J. — Summary Judgment.)

Present — Denman, P.J., Green, Pine, Callahan and Pallon, JJ.


Order and judgment unanimously affirmed with costs. Memorandum: Supreme Court properly granted defendants cross motion for summary judgment dismissing the complaint. The record establishes that the minimum subscription of 7,000 shares of preferred stock of Triad Manufacturing Group, Inc. (Triad), was met, which triggered defendants obligation as escrow agent to release the funds ( see, Farago v. Burke, 262 N.Y. 229, 233; Matter of Kaplan v. Shaffer, 112 A.D.2d 369, 370). The fact that one of the checks may have bounced or was not immediately deposited by Triad has no bearing on the issue whether the requisite number of shares was sold by the closing date. Upon acceptance of the subscriptions, all stock sales were complete and irrevocable on May 3, 1991, and Triad had an enforceable debt against the subscribers in the event of nonpayment ( see, Stoddard v. Lum, 159 N.Y. 265, 273; Allen v. Ryan, 219 App. Div. 634, 635-636, aff'd 246 N.Y. 609).


Summaries of

Smith v. Gross, Shuman, Brizdle Gilfillan

Appellate Division of the Supreme Court of New York, Fourth Department
Apr 29, 1998
249 A.D.2d 893 (N.Y. App. Div. 1998)
Case details for

Smith v. Gross, Shuman, Brizdle Gilfillan

Case Details

Full title:JAMES R. SMITH et al., Appellants, v. GROSS, SHUMAN, BRIZDLE AND…

Court:Appellate Division of the Supreme Court of New York, Fourth Department

Date published: Apr 29, 1998

Citations

249 A.D.2d 893 (N.Y. App. Div. 1998)
671 N.Y.S.2d 400