Reeves v. Texas Gulf, Inc.

Motion by defendants for an order dismissing the complaint on the grounds that plaintiffs lack the legal capacity to maintain this suit as representatives of a class and that the complaint fails to 'state a representative cause of action is denied.

The facts underlying this action are as follows: On July 24, 1973 Canadian Development Corporation, hereinafter referred to as CDC, made a stock tender offer to purchase 10 million shares of defendant corporation ’s common stock from shareholders, for $29 per share. Plaintiffs, who were holders of 2,021 shares of Texas Gulf stock, tendered such…