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TREADWAY COMPANIES, INC. v. CARE CORP.

No. 79 Civ. 5066 (GLG).

490 F.Supp. 653 (1979)

TREADWAY COMPANIES, INC., Plaintiff, v. CARE CORPORATION, Dr. Robert W. Browne, Daniel Cowin, and Philip deJourno, Defendants. CARE CORPORATION, Dr. Robert W. Browne and Philip deJourno, Counterclaim-Plaintiffs, v. FAIR LANES, INC., Treadway Companies, Inc., Daniel Parke Lieblich, John R. McDonnell, Simon Gluckman, Norman Brassler, Murray L. Cole, Samuel B. Dobrow, and Bernard Mills, Counterclaim-Defendants. CARE CORPORATION and Philip deJourno, suing derivatively in the right and for the benefit of Treadway Companies, Inc., Counterclaim-Plaintiffs, v. FAIR LANES, INC., Daniel Parke Lieblich, John R. McDonnell, Simon Gluckman, Norman Brassler, Murray L. Cole, Samuel B. Dobrow, and Bernard Mills, Counterclaim-Defendants, and Treadway Companies, Inc., Nominal Defendant.

United States District Court, S. D. New York.

November 27, 1979.

Attorney(s) appearing for the Case

Battle, Fowler, Jaffin, Pierce & Kheel, New York City, for plaintiff and the individual counterclaim defendants by Samuel R. Pierce, Jr., Gerald J. Fields, Raymond J. Soffientini, Richard S. Lawch, New York City, of counsel.

Marshall, Bratter, Greene, Allison & Tucker, New York City, for defendants and counterclaim plaintiffs, Care Corporation, Dr. Browne and Philip deJourno by James M. Bergen, Stephen B. Camhi, Daniel S. Greenfeld, New York City, of counsel.

Skadden, Arps, Slate, Meagher & Flom, New York City, for defendant Cowin by Michael H. Diamond, Douglas M. Kraus, Robert W. Wien, David M. Hashmall, New York City, of counsel.

GOETTEL, District Judge:

In this latest round in the continuing battle for control over Treadway Companies, Inc. ("Treadway"), the defendants and counterclaimants, Care Corporation ("Care"), Browne, and deJourno,1 have moved for a preliminary injunction seeking to enjoin the proposed sale of certain stock by Treadway to its hoped-for "white knight," Fair Lanes, Inc. ("Fair Lanes").

Care is the owner of approximately 32% of the...

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