The directors of defendant, a New Jersey corporation, in an effort to effect corporate tax savings and simplification of operations, submitted the following plan to its shareholders: Defendant was to sell all of its operating assets to X, a Pennsylvania corporation which had been formed by the directors and was to receive as consideration all of the capital stock of X. Then defendant was to be dissolved and X's stock and any corporate surplus was to be distributed to the stockholders. The necessary two-thirds majority of the stockholders, as required by statute, voted to sell the operating assets and to dissolve. Plaintiff, a minority stockholder, sued to enjoin the sale and dissolution and prayed a temporary injunction pending final hearing. Held, interlocutory injunction denied. Light v. National Dyeing and Printing Company, (N.J. 1947) 55 A. (2d) 233.
Bayard E. Heath S.Ed.,
CORPORATIONS-VOLUNTARY DISSOLUTION - RIGHTS OF MINORITY STOCKHOLDERS,
Mich. L. Rev.
Available at: https://repository.law.umich.edu/mlr/vol46/iss6/15