Zitomer v. Kelmenson

This case concerns a contract between defendant Kelmenson, 1 one of a number of doctors of medicine, and plaintiff, an experienced and apparently successful businessman.

The contract (it is titled “agreement”) is an option for the purchase of stock in a company called General Capsule Corporation. The company was formed by a number of doctors of medicine and some other nonmedical incorporators. Its purpose was to manufacture capsule containers adaptable to pharmaceuticals and other ingestible products. The company was singularly unsuccessful.

Plaintiff, in some manner not clear, was asked to…