Case Name: In the Matter of Edward A. Kole, a Stockholder of Combined Industries, Inc., Petitioner, v. Combined Industries, Inc., Respondent
Court: New York Supreme Court
Jurisdiction: New York
Decision Date: 1961-02-23
Citations: 28 Misc. 2d 649
Docket Number: 
Parties: In the Matter of Edward A. Kole, a Stockholder of Combined Industries, Inc., Petitioner, v. Combined Industries, Inc., Respondent.
Judges: 
Reporter: New York Miscellaneous Reports
Volume: 28
Pages: 649–649

Head Matter:
In the Matter of Edward A. Kole, a Stockholder of Combined Industries, Inc., Petitioner, v. Combined Industries, Inc., Respondent.
Supreme Court, Special Term, Nassau County,
February 23, 1961.
Shephard Kole for petitioner. Morton L. Gertilman and John W. M. Rutenberg for respondent.

Opinion:
Mario Pittoni, J.
Petition by a stockholder for an order
permitting him to inspect the records, etc., of the respondent corporation is granted. The stockholder's right to inspect the books and records of the respondent is a qualified right, resting in the court's discretion (Matter of Cohen v. Cocoline Prods., 309 N. Y. 119, 124). " The exercise of discretion in petitioner's favor, on his qualified right, would be warranted under the facts disclosed in the record. Petitioner is not required to sustain the burden of proving his good faith. On the contrary, *' [respondent] have the burden of proving the bad faith on his part which they allege in their answer ". (Matter of Hausner v. Hopewell Prods., 10 A D 2d 876, 877.) The respondent's proof of bad faith is completely insufficient to warrant either a hearing or a denial of the application.
The inspection shall be made at respondent's place of business at a time to be agreed upon by counsel. If counsel cannot agree, the time will be fixed by the court in the order to be settled on notice.