VFB LLC v. CAMPBELL SOUP CO.

No. 05-4879.

482 F.3d 624 (2007)

VFB LLC, a Delaware limited liability company, Appellant v. CAMPBELL SOUP COMPANY; Campbell Investment Company; Campbell Foodservice Company; Campbell Sales Company; Campbell Soup Company, Ltd. (Canada); Joseph Campbell Company; Campbell Soup Supply Company, L.L.C.; Pepperidge Farm, Incorporated.

United States Court of Appeals, Third Circuit.

Filed March 30, 2007.


Attorney(s) appearing for the Case

John A. Lee, Esquire, Robin Russel, Esquire, Andrews & Kurth LLP, Houston, TX, Barbara W. Mather, [Argued], Robert L. Hickok, Benjamin P. Cooper, Pepper Hamilton LLP, Philadelphia, PA, for Appellant.

Richard P. McElroy, Mary Ann Mullaney, Blank Rome LLP, Philadelphia, PA, Michael W. Schwartz, [Argued], Harold S. Novikoff, David C. Bryan, Wachtell, Lipton, Rosen & Katz, New York, NY, for Appellees.

Before SLOVITER, RENDELL, and CUDAHY, Circuit Judges.


OPINION OF THE COURT

CUDAHY, Circuit Judge.

In 1998, Campbell Soup Co. incorporated a wholly-owned subsidiary, Vlasic Foods International, Inc., and sold it several food companies in exchange for borrowed cash. Then it issued the subsidiary's stock to Campbell shareholders as an in-kind dividend, making VFI an independent company. Within three years of this transaction, VFI filed for bankruptcy and sold the food companies for less than it had paid for them...

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