Horning v. Horning Construction, LLC
New York Supreme Court
12 Misc. 3d 402, 816 N.Y.S.2d 877 (2006)
- Written by Kelly Simon, JD
Facts
Jeffery M. Horning (plaintiff), Klimowski, and Holdsworth formed Horning Construction, LLC (defendant). Each individual member held a one-third interest in the limited liability company (LLC). Horning, Klimowski, and Holdsworth never agreed on or signed an operating agreement. Horning Construction began and continued its operations without an operating agreement. Animosity between Horning and the other members continued as Horning Construction grew into a lucrative business. Because of the conflict, Horning sought to sell his interest to Klimowski and Holdsworth; however, the members failed to agree on a price. The failed sales attempt led to increasing hostility between the partners. Subsequently, Horning petitioned the New York Supreme Court to dissolve Horning Construction. Horning alleged that disagreements between the members made it impossible to operate the business together. Klimowski and Holdsworth opposed the dissolution, as Horning Construction was a successful, growing business that should not be dissolved.
Rule of Law
Issue
Holding and Reasoning (Fisher, J.)
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