Nedick's Stores, Inc. v. Genis

MeLEAN, District Judge.

This is an action pursuant to Section -16(b) of the Securities Exchange Act of 1934 (15 U.S.C. § 78p(b)) to recover alleged short-swing profits. Defendant was formerly a vice president and a substantial stockholder of plaintiff corporation. He still holds directly or indirectly approximately 19 per cent of its stock.

Lea S. Singer, a minority stockholder of plaintiff, moves for leave to intervene as a party plaintiff. The motion is vigorously opposed by plaintiff corporation.

The proposed intervenor claims that, under Section 16(b) and under Rule 24(a) (1), she has an…