Cressy v. Shannon Continental Corp.

This appeal concerns a dispute between the two principal shareholders of a closely held corporation, Shannon Continental Corporation (Shannon). Essentially Cressy and Russell each challenged the validity of certain stock transactions involving the other. Considered separately these transactions would have altered control of the corporation. After consolidation and trial the court determined that the mutual intent of Cressy and Russell in forming Shannon had been one of equal “partnership.” It then fashioned equitable relief to restore that relationship. From its judgment Cressy, alone,…