When the Elizabeth Foundation for the Arts acquired substantially all of the assets of Printmaking Workshop, Inc., also a nonprofit corporation, the agreement provided that the foundation had no legal obligation to pay the past debts of the workshop, “but may elect to pay any vendors whose non-payment would provide obstacles to the operations of” a new printmaking workshop of the foundation. A creditor of the old workshop sued the foundation for unpaid bills, arguing that a de facto merger had occurred and the successor automatically acquired the predecessor’s liabilities. A trial court in New York has denied both the foundation’s motion to dismiss and the creditor’s motion for summary...