Kern v. Chicago & Eastern Illinois Railroad

MR. PRESIDING JUSTICE SCHWARTZ

delivered the opinion of the court.

This is an appeal from an order sustaining defendants’ motion for summary decree and dismissing for want of equity a suit brought by preferred shareholders seeking a declaratory decree holding that defendant company had illegally amended its bylaws in order to create a system of staggered elections of directors, and for injunctive and other relief. The principal issue is whether that amendment is in violation of a provision for cumulative voting and annual election of all directors, as contained in a reorganization plan, a…