The Real Deal New York

Judge throws out Eddie Sitt’s case against brothers

Sitt Asset Management members Ralph and David cleared of fraud allegations

December 08, 2015 05:50PM
By Kyna Doles

Eddie Sitt, 2 Herald Square and 711 Madison Avenue

From left: Eddie Sitt, 2 Herald Square and 711 Madison Avenue

A judge dismissed Eddie Sitt’s lawsuit accusing his brothers Ralph and David of committing fraud and stealing his shares of the family-operated Sitt Asset Management and Sitt Leasing.

Eddie sued the two brothers for $30 million in February, alleging they misappropriated funds from the family business and made unauthorized sales of properties.

Tuesday’s decision by New York State Supreme Court Judge Jeffrey Oing states that Eddie failed to show that Ralph was personally obligated to him.

Stephen Meister, an attorney for Ralph and David, said that “it is a shame when one brother sues another, especially over jealousy.”

“Unsurprisingly, Eddie’s completely baseless suit was dismissed,” Meister added. Joseph Lipari, Eddie’s attorney, declined to comment.

Ralph and David were also granted a protective order that prevents Eddie from subpoenaing several third parties, including Paramount Group, which provided Ralph a $30 million loan that Eddie claims was given without his consent.

Eddie’s claims came shortly after a fourth brother, Jack, filed a similar lawsuit against Ralph and David for allegedly depriving him of millions in commissions.

Since leaving Sitt Asset, Jack has moved on to launching a short-term office leasing company, Ditch the Space.

The brothers maintain an equal share in Sitt Leasing, and each own a fifth of Sitt Asset, along with their mother Marilyn, according to court documents.

Sitt Asset’s holdings include a 316,500-square-foot office and retail building at 2 Herald Square and a five-story retail building at 34 Gansevoort Street.