Highlights for Children, Inc. v. Crown

MARVEL, Vice Chancellor.

On March 11, 1960, according to the amended complaint, the original defendant Howard Crown, now deceased, who had for some time been a director of the plaintiff Highlights for Children, Inc., and a friend of persons intimately connected with plaintiff’s operations, entered into an agreement with the latter under the terms of which he agreed to enter plaintiff’s employ on May 1, 1960 at a fixed salary on condition that he purchase over the ensuing one hundred twenty days a substantial number of plaintiff’s shares at a price of $15 per share. Plaintiff alleges that such…