Breaking with its sister court across the East River, the Appellate Division, 1st Department, ruled Thursday that members of limited liability corporations have standing to bring derivative actions on behalf of their companies even though no New York statute expressly authorizes such lawsuits.

Writing for a unanimous panel, Justice George D. Marlow held that minority members have standing to sue even though a provision that would have given minority members standing apparently was purposefully dropped to win passage of the Limited Liability Law in 1992.

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