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Arx v. Breitenstein

Court of Appeals of the State of New York
Mar 31, 1977
41 N.Y.2d 958 (N.Y. 1977)

Opinion

Argued February 17, 1977

Decided March 31, 1977

Appeal from the Appellate Division of the Supreme Court in the Fourth Judicial Department, THOMAS J. O'DONNELL, J.

John Clifford Brady for appellant.

Francis X. Murphy and Gerard Mandelbaum for respondent.


MEMORANDUM. The order of the Appellate Division should be affirmed.

There is no merit to defendant's affirmative defense based on plaintiff's failure to comply with section 1312 of the Business Corporation Law. The purpose of that section is to regulate foreign corporations which are "doing business" within the State, not, as defendant would suggest, to enable the avoidance of contractual obligations.

For the reasons noted by the Appellate Division, the plaintiff is not "doing business" within this State as would render it liable to the qualification requirements of section 1312 of the Business Corporation Law. In addition, plaintiff's activity must be classified under the United States Constitution as beyond State interference (Allenberg Cotton Co. v Pittman, 419 U.S. 20; Dahnke-Walker Co. v Bondurant, 257 U.S. 282, 291; International Fuel Iron Corp. v Donner Steel Co., 242 N.Y. 224, 229).

Chief Judge BREITEL and Judges JASEN, GABRIELLI, JONES, WACHTLER, FUCHSBERG and COOKE concur.

Order affirmed, with costs, in a memorandum.


Summaries of

Arx v. Breitenstein

Court of Appeals of the State of New York
Mar 31, 1977
41 N.Y.2d 958 (N.Y. 1977)
Case details for

Arx v. Breitenstein

Case Details

Full title:VON ARX, AG., Respondent, v. C.J. BREITENSTEIN, Defendant, and C.J…

Court:Court of Appeals of the State of New York

Date published: Mar 31, 1977

Citations

41 N.Y.2d 958 (N.Y. 1977)
394 N.Y.S.2d 876
363 N.E.2d 582

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