Zampetti v. Cavanaugh

Opinion by

Mr. Justice Cohen,

This is an appeal by the defendants from a final decree in equity in favor of Zampetti, plaintiff-appellee, in a stockholder derivative action brought in behalf of Mobile Merchandising Units, Inc. (Mobile), against individual defendants, Cavanaugh and the Con-ways, and corporate defendants, Mr. Softee, Inc. (Softee) and related enterprises.

Early in 1954, Zampetti conceived the idea to produce and promote a mobile soft ice cream truck on a national franchise basis. In order to determine what insurance was necessary on such an item, he called the defendant Conway,…