Summary
In Matter of Caplan v. Lionel Corp. (14 N.Y.2d 679, affg. 20 A.D.2d 301), Defiance Industries, Inc., the defendant before us, was held to have illegally sold control of the board of directors of Lionel to A.M. Sonnabend. Defiance accomplished the illegal transfer by influencing its nominees on the Lionel board to resign and by causing the board to elect Sonnabend nominees in their place, even though Defiance did not hold or transfer to Sonnabend voting control of the Lionel stock.
Summary of this case from Gabriel Industries, Inc. v. Defiance Industries, Inc.Opinion
Argued March 25, 1964
Decided April 2, 1964
Appeal from the Appellate Division of the Supreme Court in the First Judicial Department, MITCHELL D. SCHWEITZER, J.
Raymond S. Harris, Martin A. Coleman and Stephen E. Fischer for appellant-respondent.
Gerald D. Stern and Morris B. Abram for respondent-appellant.
Milton S. Gould and Martin I. Shelton for intervenors-respondents.
Order affirmed, without costs; no opinion. Motion for a stay denied.
Concur: Chief Judge DESMOND and Judges DYE, FULD, VAN VOORHIS, BURKE, SCILEPPI and BERGAN.