Frank S. Belton, Appellant v. Alfrederick S. Hatch, as President

Summary

The New York Court of Appeals affirmed the lower court's judgment, holding that the New York Stock Exchange's constitution and by‑laws validly permit the governing committee to retain the proceeds from the sale of a member's expelled seat and that such provisions are not contrary to public policy. The Court reasoned that membership is subject to the contractual conditions set forth in the association's governing documents, and that an expelled member has no property interest in the proceeds.