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CHRISTOPHIDES v. PORCO

No. 68 Civ. 1562.

289 F.Supp. 403 (1968)

Andromeda CHRISTOPHIDES, Nicholas Staikos, and Anastasia Staikos, Individually and Derivatively as Stockholders of Brown Company, on Behalf of Themselves and All Other Stockholders of Brown Company similarly situated and in the Right of the Brown Company, Plaintiffs, v. D. A. PORCO et al., Defendants.

United States District Court S. D. New York.

On Rehearing September 30, 1968.

Attorney(s) appearing for the Case

Sills, Lurie & Nicholson, New York City, for plaintiffs; Leventhall & Zicklin by Robert Zicklin and Donald I. Leventhall, New York City, of counsel.

Pomerantz, Levy, Haudek & Block, New York City, for defendant Gulf & Western; by William E. Haudek and Robert B. Block, New York City, of counsel.

Skadden, Arps, Slate, Meagher & Flom, New York City, for defendant Brown Co.; by William R. Meagher, New York City, of counsel.

Paul, Weiss, Rifkind, Wharton & Garrison, New York City, for defendants Frank J. Manheim and David Bellows; by Edward N. Costikyan, New York City, of counsel.

White & Case, New York City, for defendant Fasco, Inc.; by David Hartfield, Jr., Haliburton Fales, 2d and Charles Nelson Brower, New York City, of counsel.

OPINION

POLLACK, District Judge.

The defendants move to dismiss this "10b-5" derivative suit and class action for lack of federal jurisdiction, F.R.Civ. P. 12(b) (1), and for insufficiency of the claim, F.R.Civ.P. 12(b) (6). Plaintiffs are shareholders of and sue on behalf of Brown Company, a Delaware corporation listed on the New York Stock Exchange, and on behalf of other shareholders of Brown.

Defendants are Fasco, Inc., formerly the owner of...

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