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Lederer v. King
Citations: 214 A.D.2d 354; 625 N.Y.S.2d 149; 1995 N.Y. App. Div. LEXIS 4140
Court: Appellate Division of the Supreme Court of the State of New York; April 11, 1995; New York; State Appellate Court
Judgment was rendered by the Supreme Court, New York County, in favor of the plaintiff against both defendants, awarding $91,327.25 with interest from June 3, 1987, and an additional $5,912.16 against the individual defendant with interest from May 4, 1990. The judgment was unanimously affirmed with costs. To pierce the corporate veil, the plaintiff was not required to prove fraud but only to demonstrate that the individual defendant’s control over the corporate entity was used to commit a wrongful act against the plaintiff. The individual defendant's promise to be primarily responsible for the plaintiff's legal fees was not protected by the Statute of Frauds. Interest awarded was deemed appropriate, calculated from an intermediate date in accordance with CPLR 5001 (b). It was noted that an attempt to pierce the corporate veil does not create an independent cause of action against the corporation. Furthermore, the provision of legal services by an attorney establishes a contract claim, express or implied, against the client, with exceptions for an attorney’s retaining and charging lien. Concurred by Justices Sullivan, Rosenberger, Ellerin, Ross, and Williams.