Andres Morales and Thomas Galeazzi each owned 50% of Depot Road Tennis Club--which operated on a six acre property.
Galeazzi later bought two adjoining parcels, one in 1990 and another in 2003, and neither Morales nor the Club were involved in those purchases.
When a deal was later struck with a developer to sell the Club, along with the 1990 and 2003 parcels, Morales sued claiming Galeazzi had wrongfully taken advantage of corporate opportunities.
After a Suffolk County Supreme Court judge found Morales and the Club shared an interest in the 2003 purchase, the Appellate Division, Second Department, reversed.
Since there had been "no tangible expectation of purchasing the 2003 property," and no duty had been breached, the AD2 thought there could be no bonafide claim to that additional land.
Now, whose fault was that?
To view a copy of the Appellate Division's decision, please use this link: Morales v. Galeazzi