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Business Planning Keyed to Gevurtz
Ringling Bros.-Barnum & Bailey Combined Shows v. Ringling
Citation:
29 Del. Ch. 610, 53 A.2d 441 (1947)Facts
In 1941, Edith Conway Ringling and Aubrey Ringling Haley, each owning 315 shares of Ringling Bros.-Barnum & Bailey Combined Shows, entered into an agreement to act jointly in matters relating to their stock ownership. The agreement provided that they would consult and confer with each other regarding voting their shares, and if they could not agree, the matter would be submitted to Karl D. Loos as arbitrator, whose decision would be binding. At the 1946 annual stockholders meeting, the parties disagreed on the fifth director to be elected. Mr. Loos, acting as arbitrator, directed that both stockholders vote for an adjournment and, if that failed, to vote for a specific slate of directors. Mrs. Ringling complied, but Mrs. Haley, through her husband as proxy, refused to vote as directed. This resulted in a disputed election, with competing claims about which directors had been properly elected.
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