Renault, Inc. v. Marble

DOYLE, District Judge.

The action herein is the aftermath of the sale by the defendants, Preston W. Marble, et al., of the corporate stock of Motor Imports Corporation, to the plaintiff, Renault, Inc., for a total purchase price of $120,000.00. Plaintiff seeks reimbursement for state and federal income taxes paid by the corporation soon after the sale. These taxes were for the fiscal year ending June 30, 1959; the stock was sold on June 9, 1959. Plaintiff claims that the defendants are liable for these taxes by reason of a warranty and indemnity agreement signed at the time of the closing…