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JACKSON NAT. LIFE INS. CO. v. KENNEDY

C.A. No. 16472.

741 A.2d 377 (1999)

JACKSON NATIONAL LIFE INSURANCE COMPANY and Benchmark Holdings, Inc., Plaintiffs, v. Michael T. KENNEDY, Radnor Holdings Corporation, successor to Benchmark Corporation of Delaware, Wincup Holdings, Inc., WinCup Holdings, L.P., Fort James Corporation, successor to James River Corporation of Virginia, and Fort James Operating Company, Inc., successor to James River Paper Company, Inc., Defendants.

Court of Chancery of Delaware, New Castle County.

Decided: July 15, 1999.

Attorney(s) appearing for the Case

Jay W. Eisenhofer and Cynthia A. Calder of Grant & Eisenhofer, Wilmington, Delaware; William I. Goldberg, J. Michael Williams, and Judith M. Hudson of Holleb & Coff, Chicago, Illinois, of counsel, for Plaintiffs.

P. Clarkson Collins, Jr. and Joseph C. Schoell of Morris, James, Hitchens & Williams, Wilmington, Delaware; James H. Walsh and H. Carter Redd of McGuire, Woods, Battle & Boothe, Richmond, Virginia, of counsel, for Defendants.

OPINION

STEELE, Vice Chancellor.

I. ISSUES PRESENTED

Benchmark Holdings Inc. ("Benchmark Holdings") and Jackson National Life Insurance Co. ("Jackson National"), a preferred stockholder of Benchmark Holdings, brought an action against the former president and sole director of Benchmark Holdings, Michael T. Kennedy, and a number of corporate entities associated with the acquisition of Benchmark Holdings' assets by Fort James Operating Corp...

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