Certain-Teed Products Corporation v. Topping

CLARK, Circuit Judge.

Plaintiff-appellant has sued for an accounting and the recovery of a sum paid by its former president, George M. Brown, in settlement of a shareholder’s derivative action brought by defendant against him in the United States District Court for the District of Rhode Island. Brown paid the sum directly to defendant’s attorneys, as attorneys’ fees, after he had obtained a summary judgment in that action on consent of defendant- — -there the plaintiff shareholder. Defendant Topping himself received no direct payment in connection with the settlement. The plaintiff corporation…