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Berkey v. Third Avenue Railway Co.
''Berkey v. Third Avenue Railway Co'' 244 N.Y. 602 (1927) is a classic veil piercing case by Judge Benjamin N. Cardozo in corporation law.
==Facts==
Minnie Berkey had an accident on a tram line operated by the Forty-second Street, etc., Railway Company. She suffered personal injury. The Third Avenue Railway owned it, along with another two corporations with street railways on different routes. Third Avenue not only owned nearly all the stock, the board of directors and executive officers were also nearly the same. Ms Berkey sued the parent, Third Avenue Railway Co, to compensate her for personal injury.
However, it was contrary to New York law at the time for one street railway company to assign its franchise to another without the Railway Commission's approval. So it was argued that a transfer in any liabilities from one to the other was an illegal contract, and therefore transfer of tort liability for Ms Berkey's personal injury was also illegal.
抄文引用元・出典: フリー百科事典『 ウィキペディア（Wikipedia）』
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