Kaufman v. Wolfson

DIMOCK, District Judge.

This is a motion by plaintiff to vacate a stay of a stockholder’s derivative action brought in this court under the diversity jurisdiction. The action was stayed until plaintiff should furnish security in the amount of $50,000 pursuant to section 61-b of the New York General Corporation Law, Consol.Laws, c. 23. ■ That section requires in substance that a plaintiff in a stockholder’s derivative action shall give security for defendant’s expenses unless he owns at least 5% of the outstanding stock or stock having a market value in excess of $50,000. Plaintiff bases his…