Keneco v. Cantrell

W. W. LESSLEY, District Judge,

setting in place of Mr. Chief Justice, Paul G. Hatfield, delivered the opinion of the court.

This litigation arises from a conflict of brothers-in-law in the creation and operation a family corporation.

Keneco is the family corporation; it sells, installs, and repairs service station equipment. From 1965 to 1970 the only directors and stockholders were Kenik, his wife Elizabeth, and Cantrell and his wife Helen; Helen Cantrell is Raymond Kenik’s sister. The wives did not actually participate in the corporation’s business.

In 1962 Kenik purchased Marketing Specialties…