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Business Organizations Keyed to Bauman
OTR Associates v. IBC Services, Inc.
Citation:801 A.2d 407 (N.J. App. 2002)
OTR Associates leased space to Samyrna, Inc., which was a franchisee of IBC. Blimpie possessed a wholly-owned subsidiary called IBC, which was formed only to hold the lease for the franchisee. IBC had no assets, employees, and OTR believed it was dealing with Blimpie, not IBC. The lease was ultimately terminated, with OTR suing Blimpie for unpaid rent under the lease.
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