Treble Damages Under General Business Law sec. 340 Not Recoverable for Class Action

The New York Court of Appeals decided yesterday in Sperry v. Cromptom Corp. that treble damages in a class action under General Business Law sec. 340 are not recoverable.  Judge Graffeo provides an excellent decision explaining the history of sec. 340, providing an analysis of the difference between a penalty provision and compensatory provision in a statute, and the history of the class action rule of the CPLR.