Poole v. N. v. Deli Maatschappij

Herrmann, Justice:

This appeal raises the question of the measure of damages to be applied in an action for inducing a sale of stock by fraudulent misrepresentation.

The plaintiffs formerly owned stock of American Sumatra Tobacco Corporation, a Delaware corporation (hereinafter “American Sumatra”), which was engaged in the business of growing tobacco in Connecticut, Georgia and Florida. By circular letter dated June 28, 1960, the defendant N. V. Deli Maatschappij, a Netherlands corporation (hereinafter “Deli”), which then owned more than 50% of the stock of American Sumatra, offered to purchase…