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JEWEL COMPANIES v. PAY LESS DRUG STORES NORTHWEST

No. C-80-0023 SW.

550 F.Supp. 770 (1982)

JEWEL COMPANIES, INC., a New York corporation, and Jewel Acquisition Corp., a California corporation, Plaintiffs, v. PAY LESS DRUG STORES NORTHWEST, INC., a Maryland corporation, et al., Defendants.

United States District Court, N.D. California.

June 1, 1982.

Attorney(s) appearing for the Case

Stephen V. Bomse, Daniel E. Titelbaum, Christina Hall, Heller, Ehrman, White & McAuliffe, San Francisco, Cal., for plaintiffs and counter-defendants Jewel Companies, Inc. and Jewel Acquisition Corp.

Richard W. Canady, Stuart R. Pollak, Robert E. Gooding, Jr., H. Mathew Moore, Howard, Prim, Rice, Nemerovski, Canady & Pollak, A Professional Corp., San Francisco, Cal., Arthur B. Kramer, Robert M. Heller, Alan R. Friedman, Kramer, Levin, Nessen, Kamin & Soll, New York City, for defendants and counter-claimant.

ORDER GRANTING DEFENDANTS' MOTION FOR SUMMARY JUDGMENT

SPENCER WILLIAMS, District Judge.

FACTUAL BACKGROUND

On November 9, 1979, plaintiff Jewel Companies, Inc. and its subsidiary Jewel Acquisition Corporation [collectively "Jewel"] entered into a merger agreement with the directors of Pay Less Drug Stores of Oakland, California [Pay Less Oakland]. This agreement contemplated Jewel's acquisition of Pay Less Oakland in a tax-exempt exchange of stock...

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