Denihan Enterprises, Inc. v. William O'Dwyer, as Mayor of the City of New York, Constituting the Board of Estimate…

Summary

The New York Court of Appeals affirmed the Appellate Division's order reversing the Special Term's dismissal of the taxpayer's complaint, holding that the complaint sufficiently alleged a cause of action and could not be dismissed as a matter of law. The Court reasoned that, assuming the truth of the allegations, the public purpose inquiry was not foreclosed and the pleading was adequate. The Court declined to address ancillary issues such as the city's authority to contract for rezoning or to lease for more than ten years. Justice Desmond dissented, arguing that the certified question should be answered affirmatively and the complaint dismissed.