New York Court of Appeals

A.J. Temple Marble & Tile, Inc., Respondent v. Union Carbide Marble Care, Inc., Appellants

February 13, 199687 N.Y.2d 574

Summary

The Court interpreted General Business Law § 691(3) to require that a controlling person, officer, or director must have materially aided the franchisor's violation to be held jointly and severally liable, and therefore dismissed the Franchise Sales Act claim against all nonfranchisor defendants except Richard Broockmann. Chief Judge Kaye filed a separate concurrence expressing concern about the narrow scope of liability.