Lead Opinion
*1229***381This matter comes to us from an order of the United States Court of Appeals for the Second Circuit certifying the following questions pursuant to rule 500.27 of this Court (Rules of Ct. of Appeals [ 22 NYCRR] § 500.27 ):
"(1) Before New York State's capacity-to-sue doctrine may be applied to determine whether a State-created public benefit corporation has the capacity to challenge a State statute, must it first be determined whether the public benefit corporation 'should be treated like the State,' [ ( Clark-Fitzpatrick, Inc. v. Long Is. R.R. Co.,, 387, 70 N.Y.2d 382 , 521 N.Y.S.2d 653 [1987] ) ], based on a 'particularized inquiry into the nature of the instrumentality and the statute claimed to be applicable to it,' [ ( John Grace & Co. v. State Univ. Constr. Fund, 516 N.E.2d 190 , 88, 44 N.Y.2d 84 , 404 N.Y.S.2d 316 [1978] ) ], and if so, what considerations are relevant to that inquiry?; and 375 N.E.2d 377
"(2) Does the 'serious injustice' standard articulated in [ Gallewski v. Hentz & Co.,, 174, 301 N.Y. 164 (1950) ], or the less stringent 'reasonableness' standard articulated in [ Robinson v. Robins Dry Dock & Repair Co., 93 N.E.2d 620 , 238 N.Y. 271 (1924) ], govern the merits of a due process challenge under the New York State Constitution to a claim-revival statute?" ( In re World Trade Ctr. Lower Manhattan Disaster *1230Site Litig., 144 N.E. 579 , 70 [2d Cir.2017].) 846 F.3d 58
We accepted the certified questions on February 9, 2017 (see
***382I.
Plaintiffs in the consolidated appeal before the Second Circuit are workers who participated in cleanup operations in New York City following the September 11, 2001 terrorist attacks. The defendant is Battery Park City Authority (BPCA). BPCA was established by the State Legislature as a public benefit corporation to redevelop blighted areas in lower Manhattan and to expand the supply of safe and sanitary housing for low-income families (see Public Authorities Law §§ 1971, 1973[1] ). Plaintiffs initially brought claims between 2006 and 2009 alleging that they developed a host of illnesses as a result of their exposure to harmful toxins at BPCA-owned properties in the course of their cleanup duties.
The legislature responded to these dismissals by enacting Jimmy Nolan's Law, which became effective September 16, 2009 (see L. 2009, ch. 440). The law amended the General Municipal Law to provide, in relevant part:
"Notwithstanding any other provision of law to the contrary, including ... section fifty-e of this article ... any cause of action against a public corporation for personal injuries suffered by a participant **550in World Trade Center rescue, recovery or cleanup operations as a result of such participation which is barred as of the effective date of this subdivision because the applicable period of limitation has expired is hereby revived, and a claim thereon may be filed and served and prosecuted provided such claim is filed and served within one year of the effective date of this subdivision" ( General Municipal Law § 50-i[4][a], as added by L. 2009, ch. 440, § 2).
The effect of the law was to revive the plaintiffs' time-barred causes of action for one year after its enactment.
***383Many of the 9/11 cleanup workers whose claims had previously been dismissed, including plaintiffs, served new notices of claim on BPCA within the one-year revival period prescribed by Jimmy Nolan's Law. BPCA moved for summary judgment on the grounds that Jimmy Nolan's Law was unconstitutional under the Due Process Clause of the State Constitution (see N.Y. Const., art. I, § 6 ). Upon due notice, the Attorney General intervened to defend the constitutionality of the law.
The District Court granted summary judgment in favor of BPCA and held that Jimmy Nolan's Law was unconstitutional as applied (see In re World Trade Ctr. Lower Manhattan Disaster Site Litig.,
Plaintiffs appealed to the Second Circuit. After discerning an "absence of authoritative guidance" on both the capacity issue and the proper standard of review in evaluating the constitutionality of claim-revival statutes (
II.
The first question essentially asks us to decide whether our general rule-that state entities lack capacity to challenge the constitutionality of a state statute-is any less applicable to public benefit corporations than it is to other types of governmental entities, such as municipalities. We hold that it is not, and that no "particularized inquiry" is necessary to determine whether public benefit corporations should be treated like the State for purposes of capacity.
***384A.
Capacity "concerns a litigant's power to appear and bring its grievance before the court" ( Community Bd. 7 of Borough of Manhattan v. Schaffer,
Generally, "municipalities and other local governmental corporate entities and their officers lack capacity to mount constitutional challenges to acts of the State and State legislation" (
*1232Matter of Town of Moreau v. County of Saratoga,
In City of New York, we rejected claims by the City of New York, Board of Education **552of the City, Mayor and Chancellor of the City School District that the State's statutory scheme for funding public education denied school children their constitutional rights under the Education Article of the State Constitution, the Equal Protection Clauses of the Federal and State Constitutions and title VI of the Civil Rights Act of 1964 (see City of New York,
Our capacity rule reflects a self-evident proposition about legislative intent: the "manifest improbability" (
B.
BPCA contends that public benefit corporations like itself are not fully governmental in nature. Therefore, BPCA argues, a court must conduct a "particularized inquiry" ( John Grace & Co. v. State Univ. Constr. Fund,
There are three types of public corporations: municipal corporations, district **554corporations and public benefit corporations (see General Construction Law § 65[b] ). A public benefit corporation is "a corporation organized to construct or operate a public improvement wholly or partly within the state, the profits from which inure to the benefit of this or other states, or to the people thereof" (id. § 66[4] ). Devised in the early twentieth century as "a new vehicle for funding public works projects" that "insulate[d] the State from the burden of long-term debt" ( Schulz v. State of New York,
These properties, however, do not bring public benefit corporations outside of the scope of our capacity rule. It is true that much of our analysis in City of New York rested on the "historical fact" that municipalities are "mere[ ] subdivisions" having no "right to contest the actions of their principal or creator" ( *1235City of New York,
BPCA cites to a line of cases from this Court rejecting a per se rule that public benefit corporations are identified with the State. In those cases, we held that "[t]he mere fact that" a public benefit corporation
"is an instrumentality of the State, and as such, engages in operations which are fundamentally governmental in nature does not inflexibly mandate a conclusion that it is the State or one of its agencies ... Instead, a particularized inquiry into the nature of the instrumentality and the statute claimed to be applicable to it is required" ( John Grace & Co.,, 44 N.Y.2d at 88, 404 N.Y.S.2d 316 ). 375 N.E.2d 377
***389Under the particular circumstances presented in those cases, we held that a public benefit corporation would be treated like the State for purposes of immunity from punitive damages (see **555Clark-Fitzpatrick, Inc.,
However, applying this line of cases here would strip them of their context. The issue in each of these cases was whether a statute or common-law rule defining the State's rights or responsibilities vis-à-vis private parties could be extended to a public benefit corporation. Given the primary function of a public benefit corporation "to resemble in many respects a private business corporation ... as a means of expanding government operations into areas generally carried on by private enterprise" ( Collins,
C.
The parties dispute the significance of two particular cases for our decision today. Plaintiffs and the Attorney General contend that this case falls within our ruling in Black Riv.
**556Regulating Dist. v. Adirondack League Club,
We agree with the plaintiffs and the Attorney General that our holding in Black Riv. precludes BPCA's proposed particularized inquiry approach. In that case, the Black River Regulating District (the District), a public corporation, sought a declaration that the Stokes Act (L. 1950, ch. 803), which prohibited "any river regulating board" from constructing certain reservoirs, was unconstitutional ( Black Riv.,
***391The District also argued that it could sue in order to vindicate the rights of its bondholders, whose bonds, it claimed, would be impaired if the Stokes Act were not struck down (see Black Riv. Regulating Dist. v. Adirondack League Club,
The precise holding in Black Riv., as we phrased it at the time, was that the plaintiffs lacked "standing" (or "status") to seek a declaration that the Stokes Act was unconstitutional (
We find unpersuasive BPCA's attempt to distinguish Black Riv. BPCA argues that the District was only established as a "public corporation," not a "public benefit corporation." The Special Term in Black **557Riv. described the District's enabling statute as follows:
"Section 431 provides that bodies corporate may be created 'to construct, maintain and operate reservoirs within such districts, subject to the provisions of this act, for the purpose of regulating the flow of streams, when required by the public welfare, including public health and safety. Such river regulating districts are declared to be public corporations and shall have perpetual existence and the power to acquire and hold such real estate ***392and other property as may be necessary, to sue and be sued, to incur contract liabilities, to exercise the right of eminent domain and of assessment and taxation and to do all acts and exercise all powers authorized by and subject to the provision of this article. Such powers shall be exercised by and in the name of the board of the district' " ( Black Riv.,, 201 Misc. at 813). 115 N.Y.S.2d 572
Therefore, it is clear that the District, in substance, if not in form, was a public benefit corporation (see General Construction Law § 66[4] ; see also Northern Elec. Power Co., L.P. v. Hudson Riv.-Black Riv. Regulating Dist.,
BPCA argues that, even if Black Riv. involved a public benefit corporation, our analysis was consistent with BPCA's proposed "particularized inquiry" test. According to this argument, the Court conducted such a particularized inquiry when it specifically identified the District's purposes "to construct reservoirs" as "a State purpose" (
BPCA's reliance on Patterson,
D.
We therefore hold that, under the capacity rule, public benefit corporations have no greater stature to challenge the constitutionality of state statutes than do municipal corporations or other local governmental entities. Of course, our holding today does not mean that public benefit corporations can never raise such constitutional challenges; like municipalities, they may avail themselves of an exception to the general rule (see City of New York,
III.
The second question, as originally certified, asks which of two purportedly inconsistent standards of review-the "reasonable[ness]" standard adopted in Robinson v. Robins Dry Dock & Repair Co.,
A.
At the outset, we note that the development of our law on claim-revival statutes has differed from the development of the federal rule.
Claim-revival statutes generally pose no issue under the Fourteenth Amendment to the United States Constitution (see Plaut v. Spendthrift Farm, Inc.,
**559"[W]here lapse of time has not invested a party with title to real or personal property, a state legislature, consistently with the Fourteenth Amendment, may repeal or extend a statute of limitations, even after right of action is barred thereby, restore to the plaintiff his remedy, and divest the defendant of the statutory bar" (, 311-312, 325 U.S. 304 , 65 S.Ct. 1137 [1945] ). 89 L.Ed. 1628
Unlike the federal rule, our state standard has not turned on this formal distinction between claim-revival statutes that intrude upon a "vested" property interest and those that do not. Rather, as we illustrate below, our cases have taken a more functionalist approach, weighing the defendant's interests in the availability of a statute of limitations defense with the need to correct an injustice. Each time we have spoken on this topic, we described circumstances that would be sufficient for a claim-revival statute to satisfy the State Due Process Clause, ***395with specific reference to the facts then before us. Each of these cases merits our close attention.
B.
The first case in which we directly addressed the constitutionality of a claim-revival statute was Robinson,
The Court expressly declined to either adopt or reject the federal rule that the legislature had "general power to revive a cause of action for personal debts or a cause of action for tort," and decided that the case could be resolved on narrower grounds ( Robinson,
"the prevailing judgment of the profession has revolted at the attempt to place immunities which exist only by reason of some slight technical defect on absolutely the same footing as those which stand on fundamental grounds.... [M]ultitudes of cases have recognized the power of the Legislature to call a liability into being where there was none before, if the circumstances were such as to appeal with some strength to the prevailing views of justice and if the obstacle in the way of the creation seemed small" ( id. at 278,, quoting Danforth, 144 N.E. 579 , 178 Mass. at 476-47759 N.E. at 1033-1034 ).
Ultimately, the Court upheld the claim-revival statute at bar on the grounds that there was "no arbitrary deprivation by the Legislature" and that the statute "was reasonable" in response to a situation that "call[ed] for remedy" ( id. at 279-280,
The next case to revisit the Robinson doctrine was Gallewski,
*1241Addressing the constitutionality of the statute, the Court held that it would "treat the case within the limits of our decision ***397in the Robinson case," which "must be read, at the very least, as holding that a revival statute is not necessarily and per se void as a taking of 'property' without due process of law" ( id. at 173, 174,
The Appellate Division recited Gallewski's holding that the legislature may revive a cause of action in response to a "serious injustice" ( McCann,
"This is a classic instance of the granting of legislative relief in a situation where the arbitrary application of the Statute of Limitations would work injustice. As the Legislature recognized, in the case of a disease of an insidious character, the effects of which might be latent or long delayed, the right to compensation might be barred by the operation of the Statute of Limitations even before the claimant was aware of the fact that he had the disease. In these *1242circumstances, the Legislature did no more than to comply with the simple demands of justice in relieving innocent claimants of the effect of the statutory time limitations which would otherwise bar their right to compensation" ( id. at 450,). 123 N.Y.S.2d 509
The last of our cases addressing the constitutionality of claim-revival statutes was Hymowitz v. Eli Lilly & Co.,
**562The Hymowitz Court suggested a possible inconsistency between the Robinson and Gallewski tests (see Hymowitz,
***399"The latent nature of DES injuries is well known, and it is clear that in the past the exposure rule prevented the bringing of timely actions for recovery. Thus we believe that exceptional circumstances are presented, that an injustice has been rectified, and that the requirements of Gallewski v. Hentz & Co. (supra ) have been met" (id. ).
C.
The Second Circuit, in certifying this question, apparently read Robinson to hold that a statute will satisfy the State Constitution so long as it is "a 'reasonable' exercise of the Legislature's power" (In re World Trade Ctr. Lower Manhattan Disaster Site Litig.,
A close reading of Gallewski reveals that it did not overrule or narrow Robinson. To the contrary, it expressly reaffirmed the Robinson standard (see
The salient facts in each of Robinson, Gallewski, McCann and Hymowitz fall *1243into the same pattern. First, there existed an identifiable injustice that moved the legislature to act. In Robinson, it was the plaintiffs' exclusive reliance on a provision of the workers' compensation law that was struck down by the United States Supreme Court (see
A more heightened standard would be too strict. In the context of a claim-revival statute, there is no principled way for a court to test whether a particular injustice is "serious" or whether a particular class of plaintiffs is blameless; such moral determinations are left to the elected **563branches of government. While we have traditionally expressed an "aversion to retroactive legislation" (Matter of Hodes v. Axelrod,
D.
We now arrive at our answer to the second certified question, as reformulated herein. The cases we have just discussed all express one and the same rule: a claim-revival statute will satisfy the Due Process Clause of the State Constitution if it was enacted as a reasonable response in order to remedy an injustice.
IV.
Accordingly, the first certified question should be answered in the negative and the second certified question, as reformulated, should be answered in accordance with this opinion.
Notes
Though asserted in Federal District Court, New York law furnished the substantive law governing these claims (see Air Transportation Safety and System Stabilization Act, Pub. L. 107-42, § 408[b][2], 115 U.S. Stat. 241 [Sept. 22, 2001]; In re World Trade Ctr. Lower Manhattan Disaster Site Litig.,
In line with these precedents, all parties agree that the relevant bar to BPCA's challenge to Jimmy Nolan's Law, if it exists at all, is a capacity bar. None of the parties have asked us to reconfigure the rule as one of standing.
We disagree with the assertion in Judge Wilson's concurrence that capacity is a "binary," all-or-nothing proposition (Wilson, J., concurring op. at 406,
Our capacity rule is ultimately derived from a line of analogous federal cases sometimes referred to as the "Hunter cases" (see Hunter v. Pittsburgh,
BPCA argues that this case, too, involves a public benefit corporation's relationship with private third parties-the plaintiffs-and therefore falls within the "particularized inquiry" line of cases. This argument is unavailing. We are not distinguishing the "particularized inquiry" cases on the grounds that they only involved disputes between public benefit corporations and private parties-clearly, not all of them did (see e.g. Miller,
Separately, the Court held that the law was constitutional on the merits (see
The Special Term appeared to be relying on the United States Supreme Court's suggestion in Allen, on writ of certiorari from this Court, that local public officials who took an oath to support the United States Constitution had a "personal stake in the outcome" of the litigation (Allen,
Although the parties disagree as to what the standard of review is, all parties agree that it should reflect our existing case law in some sense. Neither the plaintiffs nor the Attorney General have asked us to adopt the federal standard in this case.
Concurrence Opinion
We have accepted the following two certified questions from the Second Circuit.
"(1) Before New York State's capacity-to-sue doctrine may be applied to determine whether a State-created public benefit corporation has the capacity ***401to challenge a State statute, must it first be determined whether the public benefit corporation 'should be treated like the State,' [ ( Clark-Fitzpatrick, Inc. v. Long Is. R.R. Co.,, 387, 70 N.Y.2d 382 , 521 N.Y.S.2d 653 [1987] ) ], based on a 'particularized inquiry into the nature of the instrumentality and the statute claimed to be applicable to it,' [ ( John Grace & Co. v. State Univ. Constr. Fund, 516 N.E.2d 190 , 88, 44 N.Y.2d 84 , 404 N.Y.S.2d 316 [1978] ) ], and if so, what considerations are relevant to that inquiry?; and 375 N.E.2d 377
"(2) Does the 'serious injustice' standard articulated in [
*1244Gallewski v. Hentz & Co.,, 174, 301 N.Y. 164 (1950) ], or the less stringent 'reasonableness' standard articulated in [ Robinson v. Robins Dry Dock & Repair Co., 93 N.E.2d 620 , 238 N.Y. 271 (1924) ], govern the merits of a due process challenge under the New York State Constitution to a claim-revival statute?" ( In re World Trade Ctr. Lower Manhattan Disaster Site Litig., 144 N.E. 579 , 70 [2d Cir.2017] ). 846 F.3d 58
I write separately to expand on the majority's answer to the first certified question, and to explain why, in our answer to the second question, we should expressly adopt the federal rule, according to which claim-revival statutes do not raise due process concerns unless "lapse of time has ... [ ]vested a party with title to real or personal property" ( Chase Securities Corp. v. Donaldson,
A. First Certified Question: Exceptions to the General No-Capacity Rule
With respect to the first certified question, I agree with the majority's comprehensive and well-reasoned analysis explaining that a public benefit corporation, like a municipal or local government entity, **564lacks capacity to sue unless the circumstances of the case support an exception to that rule. We have recognized exceptions to the capacity to sue bar where there is
"(1) an express statutory authorization to bring such a suit; (2) where the State legislation adversely affects a municipality's proprietary interest in a specific fund of moneys; (3) where the State statute impinges upon 'Home Rule' powers of a municipality constitutionally guaranteed under article IX of the State Constitution; [or] (4) where the municipal ***402challengers assert that if they are obliged to comply with the State statute they will by that very compliance be forced to violate a constitutional proscription" ( City of New York v. State of New York,, 291-292, 86 N.Y.2d 286 , 631 N.Y.S.2d 553 [1995] [internal quotation marks and citations omitted] ). 655 N.E.2d 649
We have never stated that this list is exhaustive. While no "particularized inquiry" is necessary to determine whether a public benefit corporation should be treated like the State (because "for purposes of our capacity bar, every public benefit corporation is the State" [majority op. at 393,
The legislature may, of course, redefine, unchallenged, the powers and authority of a public benefit corporation (Black Riv. Regulating Dist. v. Adirondack League Club,
To determine what a public benefit corporation may do, courts must scrutinize the public benefit corporation's laws, purpose, and the constitutional and statutory scheme into which it fits. As "[g]overnmental entities ... [are] artificial creatures of statute, ... [they] have neither an *1245inherent nor a common-law right to sue" ( Community Bd. 7 of Borough of Manhattan v. Schaffer,
B. Second Certified Question: Claim-Revival Statutes Do Not Deprive a Party of a Non-Vested Due Process Right
The second certified question asks what standard governs the constitutionality of claim-revival statutes under our State Due Process Clause. The majority reformulates this question to focus narrowly on our prior decisions in Robinson v. Robins Dry Dock & Repair Co.,
The United States Supreme Court has determined that "where lapse of time has not invested a party with title to real or personal property, a state legislature, consistently with the ***404Fourteenth Amendment, may repeal or extend a statute of limitations, even after right of action is barred thereby, restore to the plaintiff [the] remedy, and divest the defendant of the statutory bar" ( *1246Chase Securities Corp. v. Donaldson,
"Statutes of limitation find their justification in necessity and convenience rather than in logic. They represent expedients, rather than principles. They are practical and pragmatic devices to spare the courts from litigation of stale claims, and the citizen from being put to his defense after memories have faded, witnesses have died or disappeared, and evidence has been lost. They are by definition arbitrary, and their operation does not discriminate between the just and the unjust claim, or the voidable and unavoidable delay. They have come into the law not through the judicial process but through legislation. They represent **566a public policy about the privilege to litigate. Their shelter has never been regarded as what now is called a 'fundamental' right or what used to be called a 'natural' right of the individual. [A party] may, of course, have the protection of the policy while it exists, but the history of pleas of limitation shows them to be good only by legislative grace and to be subject to a relatively large degree of legislative control" (id. at 314 ,[citation omitted] ). 65 S.Ct. 1137
Thus, the Court has explained that "[t]he Fourteenth Amendment does not make an act of state legislation void merely because it has some retrospective operation. What it does forbid is the taking of life, liberty or property without due process of law ... [and], certainly it cannot be said that lifting the bar of a statute of limitation so as to restore a remedy lost through mere lapse of time is per se an offense against the Fourteenth Amendment" (
Even under our more expansive State Due Process Clause (see e.g. People v. LaValle,
Adopting the federal standard, which recognizes the legislature's authority to revive claims where defendant is not deprived of a vested interest, is logically, historically, and jurisprudentially sound. Besides, it would seem to operate functionally the same as the rule announced by the majority today-that a claim-revival statute does not violate due process so long as it constitutes "a reasonable response in order to remedy an injustice" (majority op. at 400,
Certainly the judiciary is not the proper body to make the hard policy decisions behind these statutes. Instead, and appropriate to its position in our democratic system of government, the judiciary will defer to the legislative determination of what constitutes an injustice precisely because "there is no principled way for a court to test whether a particular injustice is 'serious' or whether a particular class of **567plaintiffs is blameless; [and] such moral determinations are left to the elected branches of government" (majority op. at 400,
As a general rule, the Court considers only those arguments raised by the parties or which arise by necessity in our analysis of the questions explicitly presented. These limitations are grounded in prudential concerns closely connected with the consideration of concrete cases and controversies. However, here we are not deciding the appeal of a case, subject to our usual jurisdictional and reviewability limitations. Instead, we are presented with a certified question from the Second Circuit, which it has invited us to reformulate as we deem appropriate. Thus, this case does not raise the usual prudential concerns that arise when we pronounce on issues not properly developed below or by the parties.
Moreover, the argument I advance here is hardly novel or in need of greater prior elaboration. As the majority's comprehensive discussion of our case law makes abundantly clear, the constitutionality of claim-revival statutes has been before us on several earlier occasions, and each time this Court has discussed the Supreme Court's Fourteenth Amendment analysis. I do no more here. We are in no way disadvantaged by deciding the applicability of the federal rule now, when it is obvious the Court is already well familiar with the issues, our constitutional standards, and the federal analysis.
Concurrence Opinion
I subscribe fully to the Court's answer to the second certified question. I write separately because I do not view the first certified question as involving an issue of "capacity," even though a few of our decisions describe it that way. Nor do I view it as a question of when a public benefit corporation should be treated as if it were the State. The question, as I see it, is whether and under what circumstances a public benefit corporation can challenge a legislative act as unconstitutional. That is not a question of capacity, which has a firm and long-standing legal meaning relating to the binary ability to sue and be sued (or not), but of the power of a legislatively-created entity to challenge an action of its creator. The answer to that question is derived from the structure of government and the roles of the coordinate branches. We have most often articulated that doctrine not as one of capacity, but of "standing" or "power," which comes closer to describing the forces at work here.
The general presumption that legislatively created entities cannot challenge acts of the legislature derives from "the supreme power of the Legislature over its creatures" (Black Riv. Regulating Dist. v. Adirondack League Club,
I.
"There is a difference between capacity to sue, which is the right to come into court, and a cause of action, which is the right to relief in court. Incapacity to sue exists when there is some legal disability, such as infancy or lunacy or a want of title in the plaintiff to the character in which he sues. The plaintiff was duly appointed receiver and has a legal capacity to sue as such, and, hence, could bring the defendants into court by the service of a summons upon them even if he had no cause of action against them. On the other hand, an infant has no capacity to sue, and, hence, could not lawfully cause the defendants to be **568brought into court even if he had a good cause of action against them. Incapacity to sue is not the same as insufficiency of facts to sue upon" ( Ward v. Petrie,, 311, 157 N.Y. 301 [1898] ). 51 N.E. 1002
Capacity is defined as "the satisfaction of a legal qualification, such as legal age or soundness of mind, that determines one's ability to sue or be sued" (Black's Law Dictionary [10th ed. 2014], capacity). Capacity concerns "a litigant's power to appear and bring its grievance before the court" ( Community Bd. 7 of Borough of Manhattan v. Schaffer,
Here, there is no question that the Battery Park City Authority (BPCA) has the capacity to sue and be sued. Its enabling legislation specifically grants it that power, unlike the community board in Community Bd. 7, which lacked any express statutory authority to sue or be sued (compare Public Authorities Law § 1974[1] [expressly providing that the BPCA "shall ***408have power" "(t)o sue and be sued"], with Community Bd. 7 at 157,
Whether a natural person or artificial entity may sue or be sued is a question of capacity. Whether a governmental entity may sue to challenge a governmental action could properly be thought of as one of general justiciability, but equally could be expressed as one of standing, which is the way most of our decisions have framed it. Standing has two components: a jurisdictional component, so that if a party suffers no injury, it may not sue; and a prudential component, involving "rules of self-restraint," which includes the determination that a party is well-situated to bring an action on its own or on behalf of another (see Society of Plastics Indus. v. County of Suffolk,
In the context of challenges brought by legislatively-created entities to actions of **569the legislature, we have usually described the issue as one of "power," "standing," or "status," rather than "capacity." The occasional imprecise introduction of the word "capacity" is traceable to a quirk of jurisdiction evident in County of Albany v. Hooker,
Most of the decisions cited by the majority do not express the underlying issue as one of capacity. In Matter of County of Cayuga v. McHugh,
As the majority notes, the case most closely analogous to the present matter, Black Riv., speaks only in terms of "status,"
***410"standing" or "power," not capacity.
The Appellate Division cases cited by the majority are largely in accord with our prior decisions, treating the issue as one of standing. Matter of Town of Moreau v. County of Saratoga,
What the relevant cases have in common-and as to this, I believe the majority and I agree-is that the restriction on governmental entities challenging legislative action derives ***411from the intrinsic structure of our government and separation of powers concerns. The legislative branch has the power to create entities (including public benefit corporations) to carry out its functions; the legislature also has the power to change, affect, and even eliminate those entities entirely. Because it is within the legislature's plenary power *1251to do so, the courts generally have no role in determining the wisdom of legislative enactments regarding those entities. Judicial restrictions based on the separation of powers usually implicate justiciability, not capacity (see Matter of New York State Inspection, Sec. & Law Enforcement Empls., Dist. Council 82, AFSCME, AFL-CIO v. Cuomo,
II.
I would tackle the certified question in stages. First, as the majority notes, we need to reformulate the question asked by the United States Court of Appeals for the Second Circuit, because the issue is much more specific than when a public benefit corporation should be treated like the State. Second, under the majority's test or mine, there is a "particularized inquiry," in the sense of an examination of facts particular to the entity's ability to sue and be sued (capacity) and its injury-in-fact and prudential concerns (standing and justiciability to me; capacity to the majority), but those are not the "particularized inquiry" of John Grace & Co. v. State Univ. Constr. Fund,
***412A.
The cases identified by the Second Circuit in the first certified question, John Grace & Co. and Clark-Fitzpatrick, Inc. v. Long Is. R.R. Co.,
B.
Putting aside the labels of "standing," "status," "power," or "capacity" used in our decisions and the decisions of the lower courts, the case law can be distilled into the following propositions. First, the general rule is that a legislatively-created artificial *1252entity cannot challenge an action of the legislature, because that entity is a creature of the legislature, the legislature is vested with lawmaking authority, and the legislature may abolish or alter its creatures at will (see Black Riv. at 487,
In category (A), the traditional concerns of standing are satisfied: the injury to the subordinate entity is direct and the right constitutionally guaranteed to it. In category (B), the concerns animating prudential standing come into play: there must be some actual injury to the subordinate governmental entity, but that alone is not sufficient; the courts must determine as a matter of prudence whether it is appropriate for the entity to bring the suit, taking into account the strong presumption that legislatively-created entities cannot challenge legislative actions (see Black Riv. at 488,
*1253Our case that best encompasses the above structure is Patterson v. Carey,
The four exceptions set out in City of New York are an application of the above principles in the context of municipal corporations, which-unlike public benefit corporations-have constitutional protections running directly to them. For that reason, however unlikely it is that a county, city, town or village would be able to challenge a legislative action, the possibility that a public benefit corporation would be able to do so is substantially more remote.
C.
Unlike the majority, I would accept the Second Circuit's invitation to provide "specific guidance ... as to the appropriate result of the inquiry in this particular case" (In re World Trade Ctr. Lower Manhattan Disaster Site Litig.,
I cannot speak for the majority. Whether thought of as "capacity," "justiciability" or "standing," I believe the clear result here is that the BPCA may not challenge the constitutionality of Jimmy Nolan's Law. No constitutional protection runs directly to the BPCA entitling it to *1254avoid claim-revival statutes, the BPCA does not seek to vindicate the constitutional rights of others and, even if it did, there is no showing that it would be better situated to vindicate those rights than the third parties would be.
Chief Judge DiFIORE and Judges RIVERA, STEIN, FAHEY and GARCIA concur, Judge RIVERA in a concurring opinion; Judge WILSON concurs in a separate concurring opinion.
Following certification of questions by the United States Court of Appeals for the Second Circuit and acceptance of the questions **574by this Court pursuant to section 500.27 of this Court's Rules of Practice, and after hearing argument by counsel for the parties and consideration of the briefs and the record submitted, first certified question answered in the negative and second certified question, as reformulated, answered in accordance with the opinion herein.
Although it might be tempting to read Hooker as suggesting that counties have capacity to sue in their proprietary role but not in their governmental role, that reading is unsatisfactory, because counties can be sued in their governmental role, and can sue private citizens while acting in their governmental role. Hooker must be understood in its jurisdictional posture, where this Court, constrained to answer the question posed by the Appellate Division without the ability to reformulate it to remove the word "capacity," "assumed that by the question submitted it is intended that this court shall determine whether the county has capacity to maintain the particular action stated in the complaint" (
In Black Riv., the Black River Regulating District challenged the Stokes Act as unconstitutional. We held that
"the plaintiffs are without power to challenge the validity of the act or the Constitution ...
"The issuance of certificates of indebtedness does not confer upon plaintiffs an independent status by which they have standing, either as a body politic or as individuals, to test the validity of the Stokes Act" (, 307 N.Y. at 489). 121 N.E.2d 428
