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MONTY v. LEIS

No. B225646.

193 Cal.App.4th 1367 (2011)

MARIANNE MONTY et al., Plaintiffs and Appellants, v. GEORGE S. LEIS et al., Defendants and Respondents.

Court of Appeals of California, Second District, Division Six.

March 30, 2011.

Attorney(s) appearing for the Case

Johnson Bottini , Frank J. Johnson , Francis A Bottini, Jr. , and Brett M. Weaver for Plaintiffs and Appellants.

Orrick, Herrington & Sutcliffe, Daniel J. Tyukody , Michael C. Tu , Jason L. Krajcer ; Reicker, Pfau, Pyle & McRoy and Diana Jessup Lee for Defendants and Respondents.

OPINION

GILBERT, P.J.—

Corporate shareholders approve an amendment to a corporation's articles to increase the number of authorized shares. Thereafter the corporation enters into an investment agreement that gives an investor shares of common and preferred stock. The agreement provides that the preferred stock would convert to many more additional shares of common stock. Issuance of these additional shares would require an amendment to...

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