Appellate Division, Second Department · October 7, 2026 · 2026 NY Slip Op 05768
Erkman Intl., Co., Ltd. v PepsiCo, Inc.
Read the official decision: 2026 NY Slip Op 05768
Holding The court affirmed the dismissal of the plaintiff’s claims for aiding and abetting breach of fiduciary duty and aiding and abetting fraud against PepsiCo. The court found that the plaintiff failed to sufficiently allege that PepsiCo provided substantial assistance, as mere inaction does not constitute substantial assistance without a direct fiduciary duty.
The court’s words
Substantial assistance requires an affirmative act on the defendant's part; mere inaction can constitute substantial assistance only if the defendant owes a fiduciary duty directly to the plaintiff
2026 NY Slip Op 05768, at the official text
Conclusory allegations that the aider and abettor had actual knowledge of fraud, together with allegations that would be sufficient to state a claim against the principal participants in the fraud, are insufficient, without more, to establish substantial assistance
2026 NY Slip Op 05768, at the official text
| Court | Appellate Division, Second Department |
|---|---|
| Decided | October 7, 2026 |
| Citation | 2026 NY Slip Op 05768 |
| Area of law | Personal Injury and Negligence · Civil Procedure |
| Week | Week ending October 10, 2026 |
| Official text | Official decision: 2026 NY Slip Op 05768 |
| Publication status | Slip opinions are uncorrected and subject to revision before publication in the Official Reports. |
| Source feed | New York slip opinion page |
| Law Watch record id | 991 |
Recommended citation
ESQ HQ, New York Law Watch, Erkman Intl., Co., Ltd. v PepsiCo, Inc., 2026 NY Slip Op 05768 (Appellate Division, Second Department, October 7, 2026), https://esqhq.com/decisions/2026-ny-slip-op-05768/
How this record was made
Holding drafted by Law Watch’s in-house model, graded by three reviewers; every quotation verified word for word against the official text.
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