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BATCHELDER v. KAWAMOTO

No. 96-56565.

147 F.3d 915 (1998)

Harry C. BATCHELDER, Jr., Individually and Derivatively On Behalf of Honda Motor Company, Ltd. and American Honda Motor Company, Inc., Plaintiff-Appellant, v. Nobuhiko KAWAMOTO, Yoshihide Munekuni, Hiroyuki Yoshino, Nobuyki Miyata, Koichi Amemiya, Masaki Iwai, Hiroyuki Shimojima, Takashi Matsuda, Koji Nagata, Takeshi Yamada, Tomohiko Nakano, Makoto Shino, Riku Iwai, Yoshino Okawara, Kazuo Ibuki, Tadashi Kume, Takeo Fukui, Ryuichi Tsukamoto, Katsuro Suzuki, Michiaki Shinkai, Michiyoshi Hagino, Shinya Iwakura, Isao Suzuki, Kazue Ito, Kunhiro Chujo, Kentaro Kato, Kaname Kasai, Kensuke Fukatsu, Takeo Matsumoto, Hirotada Komatsu, Yuji Sakasume, Motoatsu Shiraishi, Minoru Harada, Satoshi Aoko, Atsuyoshi Hyogo, Dennis Josleyn, Stanley James Cardiges, Gary D. Josleyn, David Pedersen, Roger Novelly, Robert A. Massitelli, Frederick W. Meis, Jr., Edward A. Temple, Thomas A. Caufield, Frank Pisano, Beatrice Sikora, James Short, John W. Billmyer, Lyon & Lyon, and Roland NMI Smoot, Defendants-Appellees.

United States Court of Appeals, Ninth Circuit.

Decided June 15, 1998.

As Amended July 15, 1998.

Attorney(s) appearing for the Case

Henry H. Rossbacher (argued), James S. Cahill, Rossbacher & Associates, Los Angeles, CA, William A. Lerach, Spencer A. Burkholz, Milberg, Weiss, Bershad, Hynes & Lerach LLP, San Diego, CA, Kevin P. Roddy, Los Angeles, CA, Jonathan W. Cuneo, The Cuneo Law Group, Washington, DC, for plaintiff-appellant Harry C. Batchelder, Jr.

Kent L. Richland (argued), Robin Meadow, Alan Diamond, Greines, Martin, Stein & Richland LLP, Beverly Hills, CA, for defendants-appellees Takeshi Yamada, Takeo Fukui, Koichi Amemiya, and Isao Suzuki.

Sarah Chapin Columbia (argued), Jeremiah T. O'Sullivan, Choate, Hall & Stewart, Boston, MA, J. Michael Hennigan, Robert Palmer, Pamala J. King, Hennigan, Mercer & Bennett, Los Angeles, CA, for defendants Lyon & Lyon and Roland Smoot.

Richard A. Cirillo, Herbert S. Washer, Rogers & Wells, New York City, Allan E. Ceran, Rogers & Wells, Los Angeles, CA, Dan Kiefer, Mark Brooks, Honda North America, Torrance CA, for American Honda Motor, Co., Inc.

Before: FARRIS, O'SCANNLAIN, and FERNANDEZ, Circuit Judges.

O'SCANNLAIN, Circuit Judge:

We must decide whether the holder of an American Depository Receipt has standing to bring a shareholder derivative action against a Japanese corporation.

I

This is a derivative action brought by Harry C. Batchelder, Jr. on behalf of Honda Motor Company, Ltd. ("Honda Japan") and American Honda Motor Company, Inc. ("American Honda") for wrongs allegedly committed by directors, officers, and employees of Honda Japan and American...

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