Topanga Corp. v. Gentile

Opinion

THOMPSON, J.

Defendants appeal from a judgment granting $50,000 exemplary damages secured by a lien upon their personal property. In an earlier proceeding, defendants, promoters and shareholders of plaintiff Topanga Corporation, were found guilty of defrauding Topanga. (Topanga Corp. v. Gentile, 249 Cal.App.2d 681 [58 Cal.Rptr. 713].) This appeal is from a rehearing granted solely to determine the issue of punitive damages.

Topanga Corporation initially brought an action seeking a determination and declaration of the respective share interests of its stockholders or, in the alternative,…