Hyman v. Velsicol Corp.

This is an action to restrain the directors of Velsieol Corporation from carrying out a plan of recapitalization and to nullify acts already done pursuant to the plan. A master in chancery recommended a decree dismissing the suit for want of equity. The chancellor sustained exceptions to the master’s report and entered a decree in favor of plaintiff. Defendants have appealed.

Plaintiff is a research chemist. In 1930 he was employed by the Pure Oil Company. During the latter part of 1930 he spoke to defendant Regenstein, his cousin, about inventions he had made in the petroleum field. He wanted…