Selheimer v. Manganese Corp. of America

Opinion by

Mr. Justice Eagen,

This is an appeal from the order of the court below dismissing a petition for the entry of security on behalf of the corporate defendant, Manganese Corporation of America (Manganese), under the provisions of the Act of April 18, 1945, P. L. 253, No. 114, §2, as amended, 12 P.S. §1322, in an action characterized as a stockholders’ derivative action. The sole reason offered by the court below in dismissing the petition was that the petitioning counsel for the corporate defendant had no authority to so act.

This case involves an action begun by several stockholders of…