People v. National Cancer Hosp. of America
| Decision Date | 24 May 1956 |
| Citation | 153 N.Y.S.2d 63,135 N.E.2d 596,1 N.Y.2d 802 |
| Parties | , 135 N.E.2d 596 PEOPLE, Respondent, v. NATIONAL CANCER HOSPITAL OF AMERICA et al., Appellants, DeHaan, Inc., et al., Defendants. |
| Court | New York Court of Appeals Court of Appeals |
Appeal from Supreme Court, Appellate Division, First Department, 284 App.Div. 935, 135 N.Y.S.2d 619.
Action was brought by the People of the State of New York pursuant to Section 1217 of the Civil Practice Act as authorized by Section 219 of the General Corporation Law, Consol.Laws, c. 23, to enjoin defendants from soliciting gifts and contributions for and on behalf of certain organization, on ground that it was doing business in the state without proper authority, and on ground that defendants had, by false and fraudulent representations, obtained money for a specific purpose and had failed to apply the moneys to the use intended.
The Supreme Court, New York County, Irving L. Levey, J., entered a judgment adverse to the defendants, and they appealed.
The Appellate Division, 284 App.Div. 935, 135 N.Y.S.2d 619, affirmed the judgment.
The Appellate Division, 285 App.Div. 871, 137 N.Y.S.2d 827, granted motion for reargument and modified the decision, 284 App.Div. 935, 135 N.Y.S.2d 619, by striking from the judgment the decretal paragraph directing the distributions cy pres of all funds remaining in the receiver's hands after payment of all indebtedness of expenses of administration, on ground that such paragraph was made prematurely.
The defendants appealed to the Court of Appeals, contending that the lower court entered the judgment contrary to the statutes of the State of New York and denied the organization equal protection of the laws and deprived it of its property without due process of law because the cy pres doctrine had no application to its funds, and that the courts of New York had no power to apply the cy pres doctrine to such funds, and that the appointment of a receiver of the property of the organization was unauthorized and contrary to law, and that the organization was deprived of a trial by jury as provided by statute, and that the campaign of the organization was carried on in interstate commerce and that the court was powerless to enjoin it, and that the judgment violated the organization's constitutional guaranties of freedom of speech and freedom of the press.
Ramey & McKelvey, New York City (Deane Ramey, New York City, of counsel), for appellants.
Jacob K. Javits, Atty. Gen. ...
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