Goldman v. Union Bank and Trust

NEY, Judge.

Plaintiffs, Sophie Goldman and John T. Maley, appeal from the summary judgment entered dismissing their complaint for in-junctive relief. We affirm.

The questions presented for review are (1) whether a reverse stock split which has the effect of “freezing out” minority shareholders is authorized under the Colorado Corporation Code and (2), if it is, whether § 7-4-109, C.R.S. (1986 Repl.Vol. 3A) is unconstitutional as applied. We conclude that the answer to the first question is yes and the answer to the second question is no.

Plaintiffs were minority shareholders of defendant Union…