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Corporations Keyed to Hazen
Old Dominion Copper Mining & Smelting Co. v. Lewisohn
Citation:
210 U.S. 206 (1908)Facts
The property embraced in the plan was the mining property of the Old Dominion Copper Company of Baltimore, and also the mining rights and land now in question, the latter being held by Keyser, for the benefit of himself and of the executors of Simpson, who, with Keyser, owned the stock of the Baltimore company. Bigelow and Lewisohn in May 1895 obtained options from Simpson’s executors and Keysor for the purchase of the stock and the property now in question. They also formed a syndicate to carry out their plan. On July 8, 1985, Bigelow and Lewisohn started the plaintiff corporation. Petitioner contends that the promoters stood in a fiduciary relation to it, if, when the transaction took place, there were members who were not informed of the profits made and who did not acquiesce, and that the same obligation of good faith extends down to the time of later subscriptions, which it was the promoters’ plan to obtain.
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