Beacon Wool Corp. v. Johnson

The plaintiff, a corporation, brings this bill in equity to compel the defendants, two of its directors, to restore to it sums paid by them as bonuses to its employees and to themselves.

The evidence is reported and the judge made careful and complete findings of fact which include the following: The plaintiff was organized in 1923 under the laws of Delaware. Its name at that time was Robert M. Pitt Company, Inc., but subsequently its name was changed to Beacon Wool Corporation, and it will be referred to hereinafter as the company. Beginning in 1938 and continuing down to February 7, 1947,…