Limited partners' fiduciary claims survived dismissal where limited partners could rely on misleading disclosures regarding challenged transactions, where the general partners and controllers failed to eliminate fiduciary duties from the partnership agreement, and where general partner's financial interest in challenged transactions was sufficient to establish demand futility.

Court declined to dismiss breach of fiduciary duty claims where general partner and controller affiliates had not removed fiduciary duties from the partnership agreement and where plaintiffs were entitled to rely on disclosures related to challenged transactions and thus were not on inquiry notice of their claims.

Curtis Rabideau et al. v. Zeev Wolf Weitz et al.

Appellate DivisionFirst Department