Renbaum v. Custom Holding, Inc.

On 3 June 2002 Michael Renbaum (Michael) filed in the Circuit Court for Baltimore County a petition for the involuntary dissolution of Custom Holding, Incorporated (“Custom”), a closely held Maryland corporation, claiming that the directors of Custom were “so divided respecting management” of Custom that the “votes required for action by the board” could not be obtained. Michael, the majority shareholder of Custom (holding 53.86% of its capital stock) 1 and a director, alleged that the four directors of Custom were deadlocked as to whether dividends should be declared and whether the…