No. 90-8794.

932 F.2d 1410 (1991)

James HENDERSON, Trustee for Service Equipment Company, Plaintiffs-Appellants, v. CHERRY, BEKAERT & HOLLAND, a Partnership, Defendants-Appellees.

United States Court of Appeals, Eleventh Circuit.

June 7, 1991.

Attorney(s) appearing for the Case

Earle B. May, Jr., Steven M. Collins, Alston and Biard, Atlanta, Ga., for plaintiffs-appellants.

Karen B. Bragman, Jeffrey M. Smith, Arnall, Golden & Gregory, Atlanta, Ga., for defendants-appellees.

Before JOHNSON and COX, Circuit Judges, and HENDERSON, Senior Circuit Judge.


I. Background

On April 13, 1988, James Henderson, as bankruptcy trustee for Service Equipment Company, and John Smithgall filed suit against the accounting firm of Cherry, Bekaert & Holland (CBH), a North Carolina partnership, for its role in the purchase and sale of the stock of Service Equipment Company. The complaint included federal securities law and pendent state law claims.

CBH filed a Fed.R.Civ.P. 12(b) motion to dismiss...

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