Stockholders Committee for Better Management of Erie Technological Products, Inc. v. Erie Technological Products, Inc.

WEBER, District Judge.

This diversity stockholders’ action involves the question of the extent to which the directors and majority shareholders of a Pennsylvania corporation may legally diminish the right of cumulative voting. Plaintiffs are four shareholders of defendant corporation who bring this action on their own behalf and also as a representative action on behalf of other minority shareholders whose proxies they held at the last annual meeting. Defendants are the corporation and three of its Directors who are alleged to represent a majority group of the shareholders because of the…