LUPO v. R. ROWLAND AND CO.

Nos. 87-2296, 87-2297.

857 F.2d 482 (1988)

David G. LUPO and James A. Stemmler, Appellants, Jack D. Bastien, Arthur F. O'Hare, Jane S. Tschudy, E. Louis Werner, Jr., Michael J. Kickham, Arla E. Reed, Thomas W. Yager and Ronald B. Burt, v. R. ROWLAND AND COMPANY, a Missouri Corporation, Joseph G. Wohl, Carol Wohl and David Weiss, Executors, Irwin M. Rosenthal, Jacob W. Heller, Herman Schwartzman, Leonard I. Weinstock, David M. Garelik, Andrew W. Dave, Marcel Shwergold and Elkan Abramowitz, Edmond M. Coller, Richard F. Horowitz, Howard L. Mann, E. Cooke Rand, Howard S. Jacobs, R. Mitchell Mass, Edward Fingerman, Weiss, Rosenthal, Heller & Schwartzman, a dissolved legal partnership, Laventhol & Horwath, an accounting partnership, Richard W.A. Davis, Richard W.A. Davis, as Trustee for Richard W.A. Davis, Inc., a dissolved Florida Corporation, Harold Rand, Harold Rand, d/b/a Harold Rand & Company Public Relations, Joel Preston, Irving Cohen, Irving Cohen, d/b/a The Astro Group, Ltd., I.C.A. Productions, Inc., a dissolved New York Corporation, Stanley Levine, Ted Shapiro, Ted Shapiro, d/b/a The Astro Group, Ltd., Raymond E. Rowland, Jr., Robert R. Rust, Appellees. David G. LUPO and James A. Stemmler, Appellees, Jack D. Bastien, Arthur F. O'Hare, Jane S. Tschudy, E. Louis Werner, Jr., Michael J. Kickham, Arla E. Reed, Thomas W. Yager and Ronald B. Burt, v. R. ROWLAND AND COMPANY, a Missouri Corporation, Appellant, Joseph G. Wohl, Carol Wohl and David Weiss, Executors, Irwin M. Rosenthal, Jacob W. Heller, Herman Schwartzman, Leonard I. Weinstock, David M. Garelik, Andrew W. Dave, Marcel Shwergold and Elkan Abramowitz, Edmond M. Coller, Richard F. Horowitz, Howard L. Mann, E. Cooke Rand, Howard S. Jacobs, R. Mitchell Mass, Edward Fingerman, Weiss, Rosenthal, Heller & Schwartzman, a dissolved legal partnership, Laventhol & Horwath, an accounting partnership, Richard W.A. Davis, Richard W.A. Davis, as Trustee for Richard W.A. Davis, Inc., a dissolved Florida Corporation, Harold Rand, Harold Rand, d/b/a Harold Rand & Company Public Relations, Joel Preston, Irving Cohen, Irving Cohen, d/b/a The Astro Group, Ltd., I.C.A. Productions, Inc., a dissolved New York Corporation, Stanley Levine, Ted Shapiro, Ted Shapiro, d/b/a The Astro Group, Ltd., Raymond E. Rowland, Jr., Robert R. Rust, Appellants.

United States Court of Appeals, Eighth Circuit.

Decided September 20, 1988.


Attorney(s) appearing for the Case

Joseph S. Rubin, Clayton, Mo., for appellants.

John Michael Clear, St. Louis, Mo., for appellees.

Before WOLLMAN and BEAM, Circuit Judges, and RE, Chief Judge.


BEAM, Circuit Judge.

David G. Lupo and James Stemmler appeal the imposition of sanctions under Fed.R.Civ.P. 11 in the amount of $50,000 for conducting litigation in bad faith and in a frivolous and abusive fashion. We affirm.

I. FACTS

Lupo and Stemmler are attorneys who represented eight plaintiffs in a securities fraud case. The suit was brought against R. Rowland and Co., Inc., a St. Louis brokerage firm, two of Rowland's officers, an accounting...

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