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VERGOPIA v. SHAKER

922 A.2d 1238 (2007)

191 N.J. 217

Salvatore A. VERGOPIA, Janet Vergopia and Edward A. Vergopia, Plaintiffs, v. Corey E. SHAKER, William C. Muller, Jr., Joseph Shaker, James Christ, Domenic Colasacco, C. Michael Jacobi, Louis I. Margolis, all individually and/or as Directors of Hometown Auto Retailers, Inc., John Does, Westwood Lincoln Mercury Sales, Inc., Steven Shaker, Edward D. Shaker, Joseph Shaker, as Trustee of Richard Shaker, Voting Trust, Sadie Nejaime, Janet Shaker, Edward Shaker, Paul Shaker, Rose Shaker and William C. Muller, Sr., Defendants, and Hometown Auto Retailers, Inc., Defendant-Appellant, and Stephen A. Zelnick, Defendant-Cross-Claimant-Respondent. Universal Underwriters Group, Plaintiff, v. The Chubb Group of Insurance Companies; Federal Insurance Company; Salvatore A. Vergopia; Janet Vergopia; Edward A. Vergopia; Corey E. Shaker; William C. Muller, Jr.; Joseph Shaker; James Christ; Domenic Colasacco; C. Michael Jacobi; Louis I. Margolis; individually and/or as Directors of Hometown Auto Retailers, Inc.; Westwood Lincoln Mercury Sales, Inc.; Steven Shaker; Edward D. Shaker; Joseph Shaker, as Trustee of Richard Shaker Voting Trust; Sadie Nejaime; Janet Shaker; Paul Shaker; Rose Shaker and William C. Muller, Sr., Defendants.

Supreme Court of New Jersey.

Decided June 11, 2007.

Attorney(s) appearing for the Case

Eric M. Grant, a member of the Connecticut bar, argued the cause for appellant (Rogut McCarthy Troy, attorneys; Mr. Grant and Diane U. Dabulas, of counsel and on the briefs).

Dennis T. Smith, Hackensack, argued the cause for cross-claimant-respondent (Pashman Stein, attorneys).

PER CURIAM.

At issue in this appeal is indemnification. Stephen A. Zelnick was both a corporate officer of and outside counsel to Hometown Auto Retailers, Inc. (Hometown), a Delaware corporation with its principal place of business in Connecticut. In 2003, he was added as a defendant in a civil action that was brought against Hometown by two of its former senior employees, plaintiffs Salvatore and Edward Vergopia. Plaintiffs claimed that Hometown wrongfully ousted...

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