Gleason v. International Multifoods Corp.

This is an appeal from a summary judgment in favor of defendants in a stockholders’ derivative suit. Defendants’ motion for summary judgment must be considered in the light of the facts as alleged in plaintiffs’ complaint, which may be summarized as follows (omitting jurisdictional and other formal allegations):

"2. Plaintiff is a stockholder in defendant Smoke-Craft, Inc. and this suit is brought on behalf of all shareholders similarly situated.

"3. Prior to the filing of this suit demand was made on the directors of defendant Smoke-Craft, Inc. to institute action on behalf of the corporation,…