The Farmers’ Loan and Trust Company, as Trustee, Respondent v. the New York and Northern Railway Company…

Summary

The Court of Appeals reversed the lower court's judgment, holding that the majority shareholder, New York Central and Hudson River Railroad Company, breached its fiduciary duty to the minority shareholders of the New York and Northern Railway Company by using its control to divert income and foreclose the mortgage for its own benefit, and that the evidence of such conduct was material and should not have been excluded.