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HSU v. SEMICONDUCTOR SYSTEMS, INC.

Nos. A097708, A097974, A098305.

25 Cal.Rptr.3d 82 (2005)

126 Cal.App.4th 1330

Eric C. HSU et al., Plaintiffs and Appellants, v. SEMICONDUCTOR SYSTEMS, INC. et al., Defendants and Appellants.

Court of Appeals of California, First District, Division Four.

Rehearing Denied March 17, 2005.

Attorney(s) appearing for the Case

Gray Cary Ware & Freidenrich, Richard I. Yankwich, East Palo Alto, Stanley J. Panikowski, Barry D. Roe, San Diego, Andrew P. Valentine, East Palo Alto, Kathryn E. Karcher, San Diego, Counsel for Plaintiffs and Appellants.

Folger Levin & Kahn LLP, Michael A. Kahn, Roger B. Mead, Michael F. Kelleher, San Francisco, Andrew J. Davis, West Covina, Counsel for Defendants and Appellants.

Certified for Partial Publication.*

SEPULVEDA, J.

Employee shareholders of a closely-held corporation transferred ownership of the shares of a former employee to themselves just before a merger that significantly increased the value of the corporate shares. The acquiring shareholders claimed they "purchased" the shares pursuant to an employee shareholder agreement entitling them to acquisition at book value. A jury found that any...

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