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BRILL v. BLAKELEY

281 A.D. 532 (1953)

Florence W. Brill et al., Suing for Themselves and All Other Stockholders of 551 Fifth Avenue, Inc., Similarly Situated, Respondents; Certificate Associates, Inc., et al., Interveners, Respondents; Kurt E. Fontheim, Intervener, Appellant, and Phoebe C. Klein et al., Appellants, v. Charles N. Blakeley et al., Respondents

Appellate Division of the Supreme Court of the State of New York, First Department.

April 14, 1953.

Attorney(s) appearing for the Case

Stephen S. Bernstein of counsel (Martin Lippman and Sidney Kant with him on the brief; McLaughlin & Stern, attorneys), for appellants.

Edward Endelman of counsel (Daniel W. Blumenthal with him on the brief; Maurice B. & Daniel W. Blumenthal, attorneys), for interveners, respondents.

Stephen S. Bernstein of counsel (Barry & Katzman, attorneys), for intervener, appellant.

George E. Netter of counsel (A. Joseph Geist, William Netter and Miltor Waxenfeld with him on the brief; Geist & Netter, attorneys), for Florence W. Brill and others, respondents.

Max J. Rubin of counsel (Herbert Stern with him on the brief; Karelsen, Karelsen, Rubin & Rosenberg, attorneys), for Charles N. Blakeley and others, respondents.

Simon H. Rifkind of counsel (Paul J. Newlon with him on the brief; Paul, Weiss, Rifkind, Wharton & Garrison, attorneys), for Fred F. French Investing Co., Inc., respondent.

COHN and VAN VOORHIS, JJ., concur with CALLAHAN, J.; DORE, J. P., concurs in result; BREITEL, J., dissents and votes to modify in opinion.

CALLAHAN, J.

We are concerned on this appeal with the rights of preferred stockholders of 551 Fifth Avenue, Inc. (hereinafter called the "Company"), a domestic corporation. We are asked to pass upon an order allowing a settlement of two certain actions, the nature of which will be detailed later. The Company was incorporated in 1925, by the Fred F. French Security Co., Inc. (hereinafter called "Security"), a real...

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