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ZENDELL v. NEWPORT OIL CORP.

226 N.J. Super. 431 (1988)

544 A.2d 878

DAVID ZENDELL, BURTON C. D'LUGOFF, EUGENE MAUSNER, STEPHEN THOMAS, WILLIAM THOMAS, G & S REALTY CO., A CORPORATION, DAVID PRICE, LAWRENCE WILENS, JOSEPH CORCORAN, LEONARD GREEN, DONALD HAYFORD, THEODORE HAYFORD, ANTHONY J. PERSICO, ELLIOT SHEAR, IRVING MENDELSON, STANLEY ADELMAN, JOHN VAN DECKER, ROSARIE BAYLON, GEORGE HELLER, JEAN GOLLAY, EXECUTRIX FOR THE ESTATE OF BENJAMIN GOLLAY, DECEASED, ROBERT MULCAHEY, ANDREW ELELMAN, DR. PINK NAN CHENG, AND MARTHA EVERDS, PLAINTIFFS-APPELLANTS AND CROSS-RESPONDENTS, v. NEWPORT OIL CORPORATION, A DELAWARE CORPORATION, JOHN E. BRUYNELL, RAWLE & HENDERSON, ESQS., A PENNSYLVANIA PARTNERSHIP, DAVID I. FARBER, DEFENDANTS-RESPONDENTS AND CROSS-APPELLANTS, AND S.M.A.A. REALTY CORP., A NEW JERSEY CORPORATION, ISLAND PLANNING CORPORATION OF AMERICA, A NEW YORK CORPORATION, MURRAY SILVER, SHIRLEY SILVER, MARLENE SILVER, LEONARD C. NACHTMAN, JOHN DOE AND RICHARD ROE, INC., DEFENDANTS-RESPONDENTS.

Superior Court of New Jersey, Appellate Division.

Decided July 19, 1988.

Attorney(s) appearing for the Case

Robert H. Jaffe argued the cause for appellants (Jaffe & Schlesinger, attorneys; Robert H. Jaffe and Robert K. Walsh, on the brief).

John F. Hipp argued the cause for respondents cross-appellants Newport Oil Corporation and John E. Bruynell (Mandell, Deutch & Shur, attorneys; John F. Hipp, on the letter brief).

John J. Francis, Jr. argued the cause for respondent cross-appellant Rawle & Henderson, Esqs. (Shanley & Fisher, attorneys; John J. Francis and Ellen O'Connell, on the brief).

Philip M. Farber argued the cause for respondent cross-appellant David I. Farber (Soffian & Allen, attorneys; Philip M. Farber, on the letter brief).

Irwin P. Burzynski argued the cause for respondents S.M.A.A. Realty Corp., Island Planning Corporation of America, Murray Silver, Shirley Silver and Marlene Silver (Scarpone & Edelson, attorneys; Robert S. Steinbaum, on the letter brief).

No brief was filed on behalf of respondent Leonard C. Nachtman.

Before Judges MICHELS, GAYNOR and ARNOLD M. STEIN.

The opinion of the court was delivered by ARNOLD M. STEIN, J.S.C., (temporarily assigned).

The principal allegation of this law suit is that defendants offered to sell units in a limited partnership in violation of federal and state securities registration and disclosure requirements. The motion judge ruled that the offerings were exempt from the registration requirements, found no material misrepresentation existed and granted summary judgment prior to trial on these...

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