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FISCHER v FISCHER ENTERPRISES Click to find out why . . .



Keywords & Phrases
CaseNo: C.A. No. 16,864, CourtCode: CC, CourtName: IN THE COURT OF CMANCERY OF THE S RATE OF DELAWARE, Plaintiff: FISCHER, State: DE Delaware, UniqueCaseRef: DE>CC>00016864, Fischer, Fischer Enterprises, Cape Shores, Del, Summary Judgment, Delaware, Transaction, Robert, Motion, Valuation, Complaint, Facts, Supr, Support, Evidence, Deposition, Fiduciary Duty, Richard, Breach, Stockholders, Fischer Investments, Fischer Development, Dismiss, Directors, Fairness, Cape Shore, Fiduciary Duties, Fair Price, Allegations, Amos, Wilmington, Investments, Alleges, Delaware Corporation, Paragraph, Joanne, Appraisals, Corporate Assets, Derivative Claims, Shareholders , ContentID: 120239748

Case Documents
1 2001-10-30 DEFENDANTS REPLY BRIEF IN SUPPORT OF MOTION FOR SUMMARY JUDGMENT
[ see first page and extracted highlights below  ] ItemID: 127191
13 pages
PDF
2 2001-10-17 PLAINTIFFS ANSWERING BRIEF IN FURTHER OPPOSITION TO MOTION FOR SUMMARY JUDGMENT AND PROTECTIVE ORDER
[ see first page and extracted highlights below  ] ItemID: 127148
26 pages
PDF
3 2001-08-29 INC. DEFENDANTS BRIEF IN FURTHER SUPPORT OF THE MOTION FOR SUMMARY JUDGEMENT AND FOR PROTECTIVE ORDER
[ see first page and extracted highlights below  ] ItemID: 127149
21 pages
PDF
4 2000-09-06 REPLY BRIEF IN SUPPORT OF MOTION FOR SUMMARY JUDGMENT AND FOR PROTECTIVE ORDER
[ see first page and extracted highlights below  ] ItemID: 103007
18 pages
PDF
5 2000-07-19 PLAINTIFFS ANSWERING BRIEF IN OPPOSITION TO MOTION FOR SUMMARY JUDGMENT AND PROTECTIVE ORDER
[ see first page and extracted highlights below  ] ItemID: 103008
30 pages
PDF
6 1999-11-18 ANSWER
[ see first page and extracted highlights below  ] ItemID: 102102
7 pages
PDF
7 1999-11-04 MEMORANDUM OPINION
[ see first page and extracted highlights below  ] ItemID: 100316
11 pages
PDF
8 1999-08-05 REPLY BRIEF IN SUPPORT OF THE MOTION TO DISMISS OF DEFENDANTS
[ see first page and extracted highlights below  ] ItemID: 103009
8 pages
PDF
9 1999-07-23 PLAINTIFFS ANSWERING BRIEF IN OPPOSTION TO DEFENDANTS MOTION TO DISMISS
[ see first page and extracted highlights below  ] ItemID: 103010
24 pages
PDF
10 1999-06-04 OPENING BRIEF IN SUPPORT OF MOTION TO DISMISS OF DEFENDANTS
[ see first page and extracted highlights below  ] ItemID: 103011
17 pages
PDF
Total Documents: 10 documents , 175 pages
Price: $ 64.95


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1 . DEFENDANTS REPLY BRIEF IN SUPPORT OF MOTION FOR SUMMARY JUDGMENT

EXTRACTED KEY WORDS
FISCHER
COURT
FAIRNESS
DEFENDANTS
CAPE SHORES
DELAWARE
ROBERT
SUPPORT
TRANSACTION
VALUATION
RICHARD
DELAWARE CORPORATION
FAIRNESS STANDARD
JUDGEMENT
FAIR DEALING
DEPOSITION
EVIDENCE
FISCHER DEVELOPMENT
FISCHER INVESTMENT
REED SMITH LLP
WILMINGTON
PLAINTIFF CONTEND
APPRAISALS
SHAREHOLDERS
TESTIMONY
FISCHER ENTERPRISES
DISSOLVED DELAWARE CORPORATION
MARKET STREET
ATTORNEYS
                                                                        ORIGINAL
  IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
                        IN AND FOR NEW CASTLE COUNTY

JOANNE T. FISCHER,  individually
and derivatively,

                           Plaintiff,            i
         V.                                                C.A. No. 16864-NC
                                                 ;
ROBERT A. FISCHER, ROBERT A.
FISCHER, JR., RICHARD S. FISCHER,
DEBRA FISCHER, DONNA
FISCHER-SCRIVO, NORMAN K.
HAMSTEAD, CAPE SHORES
ASSOCIATES,  a Delaware partnership,
FISCHER DEVELOPMENT CORP.,  a
Delaware corporation,  FISCHER
INVESTMENTS, INC.,  a Delaware
Corporation,

and

FISCHER ENTERPRISES, INC.,
a dissolved Delaware corporation
and nominal defendant,

                           Defendants.


                     DEFENDANTS' REPLY BRIEF IN SUPPORT OF
                       DEFENDANTS' MOTION FOR SUMMARY
                     JUDGMENT AND FOR A PROTECTIVE ORDER



                                          Thomas P. Preston, Esquire
                                          I.D. No. 2548
                                          REED SMITH LLP
                                          1201 Market Street
                                          Suite 1500
                                          Wilmington, DE 19801
                                          (302) 778-75  10
                                           Attorneys for Defendants
October 30,200l



                                                                  TABLE OF CONTENTS
SNIPPETS:
  • ORIGINAL IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
  • JOANNE T. FISCHER, individually and derivatively,
  • FISCHER ENTERPRISES, INC., a dissolved Delaware corporation and nominal defendant,
  • DEFENDANTS' REPLY BRIEF IN SUPPORT OF
  • JUDGMENT AND FOR A PROTECTIVE ORDER
  • REED SMITH LLP
  • Attorneys for Defendants October 30,200l
  • PLAINTIFF HAS NOT IDENTIFIED ANY TRIABLE ISSUE
  • What Does The Entire Fairness Standard Require Of A Board
  • What Does The Plaintiff Contend Was Wrong With The Transaction?
  • Fair dealing is largely unchallenged.
  • not "right valuation."
  • for the principal asset of the dissolved company, a Note owed by Cape Shores Associates ("Cape
  • Shores") to Fischer Enterprises, Inc., was insufficient was developed some five and onehalf
  • Those undisputed facts are strong evidence of the baselessness of Plaintiffs claims.
  • What Does The Entire Fairness Standard Reauire Of A Board of Directors?
  • disclosures made to the shareholders to allow them to exercise
  • PNC Bank and Wilmington Trust Company both passed on financial
  • audit (see Affidavit of Richard S. Fischer on behalf of Cape Shores
  • not paid by Cape Shores as a result of instructions from its principal lender (Deposition of
  • relevant appraisals and valuations on March 29, 1996 (see Exhibit D-13 to Joanne Fischer
  • This ignores the testimony of the Fischers that the bank insisted that payments cease to
  • Plaintiff has not pointed to a single wrongful act by Cape Shores, Fischer Development
  • The fact that "agents" of Cape Shores, Fischer Investment
  • 1201 Market Street, Suite 1500

  • 2 . PLAINTIFFS ANSWERING BRIEF IN FURTHER OPPOSITION TO MOTION FOR SUMMARY JUDGMENT AND PROTECTIVE ORDER

    EXTRACTED KEY WORDS
    DEFENDANTS
    CAPE SHORES
    SUMMARY JUDGMENT
    VALUATION
    MOTION
    FISCHER ENTERPRISES
    AMOS
    ROBERT
    DELAWARE
    PLAINTIFF
    AMOS REPORT
    TRANSACTION
    DEL
    COURT
    DIRECTORS
    RICHARD FISCHER
    FAIR PRICE
    DEPOSITION
    FISCHER DEVELOPMENT
    CORPORATE ASSETS
    FIDUCIARY DUTIES
    STOCKHOLDERS
    FISCHER INVESTMENTS
    GREENLEE GROUP
    PARTNERSHIP
    PLAINTIFFS COUNSEL
    NEGOTIATIONS
    CAPE SHORES PAID
    PHANTOM INCOME
    
                                                                           ._-._.  _.  .
                                                                         ORIGINAL
    
           IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
                             IN AND FOR NEW CASTLE COUNTY                         &
    
    JOANNE T. FISCHER, individually
    and derivatively,                         i>
                    Plaintiff,                >
    
           V.
                                              >
    ROBERT A. FISCHER, ROBERT A.
    FISCHER, JR., RICHARD S. FISCHER,         ;
    DEBRA FISCHER, DONNA                             CA. No. 16864-NC
    FISCHER-SCRIVO, NORMAN K.                 i
    HAMSTEAD, CAPE SHORE
    ASSOCIATES, a Delaware partnership,       i
    FISCHER DEVELOPMENT CORP., a              )
    Delaware corporation, FISCHER             >
    INVESTMENTS, INC., a Delaware             1
    corporation,
                                              i
                     and                      >
                                               >
    FISCHER ENTERPRISES, INC.,                 )
    a dissolved Delaware corporation          j
    and nominal defendant,                    >
    
                    Defendants.               ;
    
            PLAINTIFF'S ANSWERING BRIEF IN FURTHER OPPOSlTION
                 TO DEFENDANTS' MOTION FOR SUMMARY JUDGMENT
                                  AND FOR A PROTECTIVE ORDER
    
                                               SMITH, KATZENSTEIN & FURLOW LLP
                                              Craig B. Smith
                                              Kathleen M. Miller
                                               800 Delaware Avenue
                                              P.O. Box 410
                                               Wilmington, DE 19899
                                               (302) 652-8400
    Date: October  17,200l                    Attorneys for Plaintiff
    
    
    
                                                      TABLE OF CONTENTS
    
    
    
    SNIPPETS:
  • IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
  • ROBERT A. FISCHER, ROBERT A.
  • TO DEFENDANTS' MOTION FOR SUMMARY JUDGMENT
  • Valuation of the Property.
  • The Board of Fischer Enterprises Approves the Plan of Liquidation
  • Fischer Enterprises Sells the Note to Cape Shores and Dissolves
  • Transaction Was Entirely Fair and Therefore Summary Judgment on the Breach
  • Defendants Fail to Show Fair Price
  • Boyer v. Wilmington Materials, Inc., Del.
  • The principal claim asserted in this action is that the directors of Fischer
  • Inc. violated their fiduciary duties
  • partnership owned indirectly by the Fischer Enterprises' those directors.'
  • Where, as here, plaintiff has alleged and produced evidence to show that neither
  • Corp. ("Fischer Development") and Fischer Investments,
  • the parties exchanged documents and began discussing deposition
  • plaintiffs counsel produced Ms.
  • Amos & Company, LLC ("C.W.
  • despositions of Robert A. Fischer and Richard Fischer.
  • she alleges that the 1995 Transaction constitutes a waste of corporate assets.
  • were stockholders and directors of Fischer Development (rd.
  • The Greenlee Group,
  • Group to conduct the appraisal and Cape Shores paid for it.
  • that any transaction to correct the phantom income problem for Fischer Enterprises did not
  • Amos Report, it was to be used as a basis for determining the value of the Note for federal
  • commence negotiations to satisfy the note in an arm's length manner" (Ex.

  • 3 . INC. DEFENDANTS BRIEF IN FURTHER SUPPORT OF THE MOTION FOR SUMMARY JUDGEMENT AND FOR PROTECTIVE ORDER

    EXTRACTED KEY WORDS
    PLAINTIFF
    DEFENDANTS
    DEL
    SUPR
    CAPE SHORES
    SUMMARY JUDGMENT
    EVIDENCE
    FIDUCIARY DUTY
    FACTS
    BREACH
    COURT
    ROBERT
    DELAWARE
    JOANNE
    DEPOSITION
    VALUATION
    FISCHER DEVELOPMENT
    TRANSACTION
    FISCHER INVESTMENTS
    CRAGG DEPOSITION
    PROTECTIVE ORDER
    CORPORATE ASSETS
    RELEVANT FACTS
    FACTUAL BASIS
    DISCOVERY
    APPRAISALS
    FISCHER ENTERPRISES SHAREHOLDERS
    FAIR PRICE
    MOVANTS
    
                                                                               ORIGINAL
           IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
    
                          IN AND FOR NEW CASTLE COUNTY
    
    JOANNE T. FISCHER,  individually
    and derivatively,
    
                          Plaintiff,
    
                    V.
    
    ROBERT A. FISCHER, ROBERT A.
    FISCHER, JR., RICHARD S. FISCHER,
    DEBRA FISCHER, DONNA                                  C.A. No. 16864-NC
    FISCHER-SCRIVO, NORMAN K.
    HAMSTEAD, CAPE SHORE
    ASSOCIATES,  a Delaware partnership,
    FISCHER DEVELOPMENT CORP.,  a
    Delaware corporation,  FISCHER
    INVESTMENTS, INC.,  a Delaware
    corporation,
    
    and
    
    FISCHER ENTERPRISES, INC.,
    a dissolved Delaware corporation
    and nominal defendant,
    
                          Defendants.
    
    
           DEFENDANTS' BRIEF IN FURTHER SUPPORT OF THE MOT&:                         -
           FOR SUMMARY JUDGMENT AND FOR A PROTECTIVE ORDER
    
    
    
                                            REED SMITH LLP
                                            Thomas P. Preston, Esquire
                                            Jan A. T. van Amerongen, Jr., Esquire
                                            1201 Market Street
                                            Suite 1500
                                            Wilmington, Delaware 19801
                                            (302) 778-7500
                                             Attorneys for Defendants
    Dated: August 29, 2001
    
    
    
    
    SNIPPETS:
  • IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
  • JOANNE T. FISCHER, individually and derivatively,
  • Plaintiff,
  • ROBERT A. FISCHER, ROBERT A. FISCHER, JR., RICHARD S. FISCHER,
  • ASSOCIATES, a Delaware partnership, FISCHER DEVELOPMENT CORP., a Delaware corporation,
  • FISCHER ENTERPRISES, INC.,
  • Defendants.
  • FOR SUMMARY JUDGMENT AND FOR A PROTECTIVE ORDER
  • STATEMENT OF RELEVANT FACTS
  • MOVANTS ARE ENTITLED TO SUMMARY JUDGMENT
  • Plaintiffs Claims Are Wholly Unsupported By Any Evidence
  • Aiding and Abetting a Breach of Fiduciary Duty Claim
  • Waste of Corporate Assets Claim
  • Bershad v. Curtiss - Wright Corp., Del.
  • Supr., 535 A.2d 840.

  • 4 . REPLY BRIEF IN SUPPORT OF MOTION FOR SUMMARY JUDGMENT AND FOR PROTECTIVE ORDER

    EXTRACTED KEY WORDS
    FISCHER
    DEFENDANTS
    SUPPORT
    SUMMARY JUDGMENT
    FISCHER ENTERPRISES
    CAPE SHORES
    MOTION
    DELAWARE
    ROBERT
    DEL
    TRANSACTION
    DEPOSITION
    FACTS
    EVIDENCE
    DELAWARE CORPORATION
    FISCHER DEVELOPMENT
    FISCHER INVESTMENTS
    VALUATION
    PROTECTIVE ORDER
    MARKET STREET
    WILMINGTON
    COMPLAINT
    FISCHER-SCRIVO
    NORMAN
    HAMSTEAD
    REED SMITH SHAW
    MCCLAY LLP
    WEINBERGER
    FACTUAL BASIS
    
                                                                                                       Q
    
    
                 IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE                                     
    
                                   IN AND FOR NEW CASTLE COUNTY            ,-,:  :
                                                                           .                           
                                                                           ..:                         
                                                                           :.  '                       
    JOANNE T. FISCHER,  individually                                       '  .-
    and derivatively,
                                                                                ;
                    Plaintiff,
                                                                                     :
    
                                                                                     :
           V.
                                                                                          -.-,
    
                                                                                             .-  .1
    ROBERT A. FISCHER, ROBERT A.
    FISCHER, JR., RICHARD S. FISCHER,
    DEBRA FISCHER, DONNA                                    CA. No. 16864-NC
    FISCHER-SCRIVO, NORMAN K.
    HAMSTEAD, CAPE SHORE
    ASSOCIATES,  a Delaware partnership,
    FISCHER DEVELOPMENT  COT@.,   a
    Delaware corporation,  FISCHER
    INVESTMENTS, INC.,  a Delaware
    corporation,
    
                    and                              j
    FISCHER ENTERPRISES, INC.,                       1
    a dissolved Delaware corporation
    and nominal defendant,                           i
                    Defendants.                      1
        REPLY BRIEF IN SUPPORT OF THE MOTION FOR SUMMARY JUDGMENT
     AND FOR A PROTECTIVE ORDER OF DEFENDANTS ROBERT A. FISCHER, SR.,
       ROBERT A. FISCHER, JR., RICHARD S. FISCHER, DEBRA FISCHER, DONNA
        FISCHER-SCRIVO, NORMAN K. HAMSTEAD, CAPE SHORES ASSOCIATES,
                 FISCHER DEVELOPMENT, INC., FISCHER INVESTMENTS, INC.
                                    and FISCHER ENTERPRISES, INC.
    
                                                     REED SMITH SHAW & McCLAY LLP
                                                     Thomas P. Preston
                                                     Jan A. T. van Amerongen, Jr.
                                                     1201 Market Street
                                                     Suite 1500
                                                    Wilmington, Delaware 19801
    
    SNIPPETS:
  • ROBERT A. FISCHER, ROBERT A. FISCHER, JR., RICHARD S. FISCHER,
  • FISCHER-SCRIVO, NORMAN K. HAMSTEAD, CAPE SHORE
  • ASSOCIATES, a Delaware partnership, FISCHER DEVELOPMENT COT@., a Delaware corporation,
  • REPLY BRIEF IN SUPPORT OF THE MOTION FOR SUMMARY JUDGMENT AND FOR A PROTECTIVE ORDER OF
  • and FISCHER ENTERPRISES, INC.
  • REED SMITH SHAW & McCLAY LLP
  • 1201 Market Street
  • Wilmington, Delaware 19801
  • Attorney for Defendants Dated: September 6,200O
  • RELEVANT FACTS
  • Plaintiff Has Failed To Satisfy The Standard For Responding TO
  • A Motion For Summ,ary Judgment
  • Are Untrue And/Or Llnsupported By Any Evidence ..,..........,.........,.......................
  • Boyer v. Wihnington Materials, Inc., Del.
  • Weinberger v. Rio Grande Indus.,

  • 5 . PLAINTIFFS ANSWERING BRIEF IN OPPOSITION TO MOTION FOR SUMMARY JUDGMENT AND PROTECTIVE ORDER

    EXTRACTED KEY WORDS
    FISCHER
    TRANSACTION
    SUMMARY JUDGMENT
    PLAINTIFF
    DEL
    MOTION
    FISCHER ENTERPRISES
    COURT
    DELAWARE
    CAPE SHORES
    INVESTMENTS
    ROBERT
    MATERIALS
    BREACH
    DIRECTORS
    VALUATION
    DISSOLVED DELAWARE CORPORATION
    STOCKHOLDERS
    FAIR PRICE
    APPRAISALS
    MATERIAL FACT
    ABETTING CLAIM
    WILMINGTON
    DEPOSITION
    FIDUCIARY DUTIES
    FAIR DEALING
    COMPLAINT
    FISCHER DEVELOPMENT
    DISCOVERY
    
           IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
    
                             IN AND FOR NEW CASTLE COUNTY
    
    JOANNE T. FISCHER, individually
    and derivatively,
    
                    Plaintiff,                i
    
           V.                                 i
                                              >
    ROBERT A. FISCHER, ROBERT A.
    FISCHER, JR., RICHARD S. FISCHER,         ;
    DEBRA FISCHER, DONNA                              C.A. No. 16864-NC    :`:           :
    FISCHER-SCRIVO, NORMAN K.                 i
    HAMSTEAD, CAPE SHORE                                                           ;.
    ASSOCIATES, a Delaware partnership,       ;                                    ^
    FISCHER DEVELOPMENT CORP., a              )
    Delaware corporation, FISCHER             >
    INVESTMENTS, INC., a Delaware
    corporation,                               i
    
                    and                        i
    
    FISCHER ENTERPRISES, INC.,                 !,
    a dissolved Delaware corporation
    and nominal defendant,                     i
    
                    Defendants.
    
                    PLAINTIFF'S ANSWERING BRIEF IN OPPOSITION
                 TO DEFENDANTS' MOTION FOR SUMMARY JUDGMENT
                                  AND FOR A PROTECTIVE ORDER
    
                                               SMITH, KATZENSTEIN & FURLOW LLP
                                               Craig B. Smith
                                               Kathleen M. Miller
                                               800 Delaware Avenue
                                               P.O. Box 410
                                               Wilmington, DE 19899
                                               (302) 652-8400
    Date: July 19, 2000                        Attorneys for Plaintiff
    
    
    
                                                     TABLE OF CONTENTS
    
    
       TABLE OF AUTHORITIES ii
    
    SNIPPETS:
  • IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
  • ROBERT A. FISCHER, ROBERT A.
  • TO DEFENDANTS' MOTION FOR SUMMARY JUDGMENT
  • PROVE THAT THE 1995 TRANSACTION WAS ENTIRELY FAIR
  • AND THEREFORE SUMMARY JUDGMENT ON THE BREACH
  • Boyer v. Wilmington Materials, Inc., Del.
  • Boyer v. Wilmington A4aterials, Inc., Del.
  • The principal claim asserted in this action is that the directors of Fischer
  • Fischer Enterprises stood on both sides of the transaction at issue (a fact they do not
  • the transaction was the product of fair dealing and that it was achieved at a fair price.
  • an appraisal and valuation prior to the sale, which support the conclusion that Fischer
  • secured for Cape Shores, the buyer of the asset, for purposes unrelated to the transaction at
  • at hand), argue that plaintiff has no basis for her claims and thus, this Court should grant
  • Hamstead, Cape Shores, Fischer Development Corp.
  • and Fischer Investments, Inc..
  • to the complaint on November 18,
  • Thereafter the parties exchanged documents and began discussing deposition
  • going to be tiled, discovery is not stayed and therefore, depositions of two of the defendants
  • Fischer Enterprises is now a dissolved Delaware corporation,
  • individual defendants comprise the stockholders and directors of Fischer Development3 (Ex.
  • A simple reading of the complaint reveals that plaintiff is contending that the 1995
  • in the light most favorable to plaintiff there is no genuine issue as to any material fact
  • that Fischer Enterprises "relied upon appropriate appraisals and valuations" B
  • DEFENDANTS ARE NOT ENTITLED TO SUMMARY JUDGMENT ON THE AIDING AND ABETTING CLAIM

  • 6 . ANSWER

    EXTRACTED KEY WORDS
    COMPLAINT
    PARAGRAPH
    ALLEGATIONS
    FISCHER
    DEFENDANTS DENY
    DEFENDANTS ADMIT
    PLAINTIFF
    AFFIRMATIVE DEFENSE
    SECOND SENTENCE
    CAPE SHORES
    FISCHER ENTERPRISES
    DELAWARE
    ROBERT
    REMAINDER
    FULLY SET
    VIRTUE
    ESQ
    FISCHER INVESTMENTS
    DOCTRINE
    COURT
    CHANCERY
    RICHARD
    DEBRA
    DONNA FISCHER-SCRIVO
    HAMSTEAD
    PROPERTY SETTLEMENT
    SHARES
    STOCK
    RESIDENCE
    
           IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
    
                                  IN AND FOR NEW CASTLE COUNTY
    
    JOANNE T. FISCHER, individually                       >
    and derivatively,                                     >                                     73
                                                                                      c'-!
                                                          >                                    ".
                                                                                      - - .,
                                                                                      ">  ,.
                                                                                      "...,,
                    Plaintiff,                            >                           *  ,'
                                                                                      -8
                                                                                      . ,>,
                                                                                      i' i i
                                                          >
           V.                                             >>
    ROBERT A. FISCHER, ROBERT A.                          >
    FISCHER, JR., RICHARD S. FISCHER,                     >                            yqr;\
                                                                                       --,
                                                                                                ,, .r
    DEBRA FISCHER, DONNA                                  1       C.A. No. 16864-NC -"'
    FISCHER-SCRJVO, NORMAN K.                             >
    HAMSTEAD, CAPE SHORE                                  >
    ASSOCIATES, a Delaware partnership,                   >
    FISCHER DEVELOPMENT CORP., a                          >
    Delaware corporation,  FISCHER                        >
    INVESTMENTS, INC., a Delaware                         >
    corporation,                                          >>
                    and                                   >>
    FISCHER ENTERPRISES, INC.,                            >
    a dissolved Delaware corporation                      >
    and nominal defendant,                                >>
                    Defendants.                           >
          ANSWER OF ROBERT A. FISCHER, SR., ROBERT A. FISCHER, JR.,
       RICHARD S. FISCHER, DEBRA FISCHER, DONNA FISCHER-SCRIVO, N
           ORMAN K. HAMSTEAD, CAPE SHORES ASSOCIATES, FISCHER
       DEVELOPMENT CORP., FISCHER INVESTMENTS, INC., and FISCHER
                                        ENTERPRISES, INC.
    
    
           Defendants,  Robert  A. Fischer, Sr., Robert A. Fischer, Jr., Richard S. Fischer, Debra
    
    Fischer, Donna Fischer-Scrivo, Norman K. Hamstead, Cape Shores Associates ("Cape
    
    Shores"), Fischer Development Corp. ("Fischer Development"), Fischer Investments, Inc.
    
    
    
    
    SNIPPETS:
  • IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
  • Defendants, Robert A. Fischer, Sr., Robert A. Fischer, Jr., Richard S. Fischer, Debra
  • Fischer, Donna Fischer-Scrivo, Norman K. Hamstead, Cape Shores Associates ("Cape
  • Shores"), Fischer Development Corp., Fischer Investments, Inc.
  • , and Fischer Enterprises, Inc., for their
  • Defendants admit that pursuant to a 1989 property settlement, Plaintiff
  • acquired 2.75 shares of stock of Fischer Enterprises.
  • information to affirm or deny the alleged state of residence of the plaintiff.
  • the remaining allegations of Paragraph 1 of the Complaint.
  • Defendants admit the allegations of the first sentence of Paragraph 2 of the
  • The second sentence of Paragraph 2 of the Complaint states a legal conclusion
  • Defendants deny the allegations of the first sentence of Paragraph 3 of the
  • Defendants admit the remainder of the allegations of Paragraph 3 of the
  • through 26 as if fully set forth herein.
  • SECOND AFFIRMATIVE DEFENSE
  • Plaintiff is estopped from bringing the Complaint by virtue of the Release
  • Plaintiff is barred from bringing the Complaint by virtue of the doctrine of
  • David A. Jenkins, Esq.

  • 7 . MEMORANDUM OPINION

    EXTRACTED KEY WORDS
    PLAINTIFF
    DEFENDANTS
    FISCHER ENTERPRISES
    CAPE SHORE
    ALLEGES
    DISMISS
    DEL
    AGREEMENT
    RICHARD
    SHAREHOLDER
    COMPLAINT
    DELAWARE
    SUFFER
    STOCKHOLDER
    BREACH
    NATURE
    INJURY
    FACTS
    PURCHASE MONEY MORTGAGE
    SALE
    ROBERT
    FISCHER DEVELOPMENT
    UNFAIR PRICE
    MOTION
    SUPPORT
    SUPR
    SEPARATION AGREEMENT
    ARGUE
    BAYER
    
          IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE                             ,
                          IN AND FOR NEW CASTLE COUNTY
    
    JOANNE T. FISCHER, individually            >
    and derivatively,                          >>
                 Plaintiff,                    >>
    V.                                         ) C.A. No. 16864
                                               >
    ROBERT A. FISCHER, ROBERT A.
    FISCHER, JR., RICHARD S. FISCHER,
    DEBRA FISCHER, DONNA FISCHER-
    SCRIVO, NORMAN K. HAMSTEAD,
    CAPE SHORE ASSOCIATES, a
    Delaware partnership, FISCHER
    DEVELOPMENT CORP., a Delaware
    corporation, FISCHER INVESTMENTS,
    INC., a Delaware corporation,
    
                 and
    
    FISCHER ENTERPRISES, INC.,
    a dissolved Delaware corporation
    and nominal defendant,
    
                 Defendants.
    
                                Submitted: August 5, 1999
                                Decided: November 4, 1999
    
                                MEMORANDUM OPINION
    
    Craig B. Smith,  Michele C. Gott and Kathleen M. Miller of Smith, Katzenstein  &
    Furlow, Wilmington, Delaware. Attorneys for Plaintiff.
    
    Thomas P. Preston and Jan A. T. van Amerongen, Jr. of Duane, Morris  &
    Heckscher, Wilmington, Delaware. Attorneys for Defendants.
    
    STEELE, V.C.
    
    
    
          Plaintiff, a shareholder in defendant Fischer Enterprises, individually and
    
    derivatively brings this action alleging breach of fiduciary duty, corporate waste,
    
    and aiding and abetting a breach of fiduciary duty. Specifically, she claims that
    
    defendants concocted and carried out a plan to unfairly cash her out of nominal
    
    
    SNIPPETS:
  • CAPE SHORE ASSOCIATES, a Delaware partnership, FISCHER DEVELOPMENT CORP., a Delaware
  • FISCHER ENTERPRISES, INC.,
  • Attorneys for Plaintiff.
  • Attorneys for Defendants.
  • and aiding and abetting a breach of fiduciary duty.
  • Fischer Enterprises to sell real estate for a grossly unfair price to another entity
  • Defendants, however, have moved to dismiss plaintiffs
  • individual claims arguing that all plaintiffs claims are purely derivative in nature.
  • I find plaintiff can bring her claims individually because she alleges she
  • suffered special injury distinct from that suffered by the other shareholders - all of
  • nonconclusory allegations found in the Complaint and extend the
  • to plead facts supporting an element of the claim or that under no reasonable
  • a stockholder of nominal defendant Fischer
  • against Robert Fischer, Robert Fischer, Jr., Richard S. Fischer, Debra Fischer, Donna
  • the "individual defendants"), Cape Shore Associates, Fischer
  • Supr., 700 A.2d 135, 140.
  • Delaware State Troopers Lodge v. O'Rourhe,
  • Ch., 403 A.2d 1109, 1110 ("A complaint should not be dismissed upon such a motion unless it
  • I assume, though no party attached documents to the complaint and the briefs, that the
  • their pro rata portion of the proceeds from the sale of the note to Cape Shore.
  • defendants is clear and requires little discussion."`3 "Where a shareholder has
  • I5 Defendants ask me to distinguish the present case from Bayer.
  • They argue Bayer is inapplicable here as Bayer involved the selling of corporate assets to
  • suffer a wrong without a remedy, I must permit plaintiffs individual claims to
  • Does the 1989 separation agreement between Richard S. Fischer and plaintiff mandate the

  • 8 . REPLY BRIEF IN SUPPORT OF THE MOTION TO DISMISS OF DEFENDANTS

    EXTRACTED KEY WORDS
    FISCHER
    FISCHER ENTERPRISES
    COMPLAINT
    DEFENDANTS
    RICHARD
    ALLEGES
    INJURY
    SHAREHOLDERS
    ASSETS
    STOCKHOLDERS
    COURT
    CAPE SHORES
    TRI-STAR PICTURES
    LANGUAGE
    DISMISS
    SALE
    DELAWARE
    WILMINGTON MATERIALS
    DEL
    PLAINTIFF CONCEDES
    VOTING POWER
    ALLEGATIONS
    MERGER
    PRICE
    LIKEWISE
    CONTINUATION
    RELIES
    SUPR
    PLAINTIFFS ANSWERING
    
                  IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
    
                                   IN AND FOR NEW CASTLE COUNTY
    
    
    JOANNE T. FISCH.ER, individually               >
    and derivatively,                              >>
                    Plaintiff,                     1>
           V .                                     )>
    ROBERT A. FISCHER, ROBERT A.                   >
    FISCHER, JR., RICHARD S. FISCHER,              >
    DEBRA FISCHER, DONNA                           >       C.A. No. 16864-NC
    FISCHER-SCRIVO, NORMAN K.                      >
    HAMSTEAD, CAPE SHORES                          >
    ASSOCIATES,  a Delaware partnership,           1
    FISCHER DEVELOPMENT CORP., a                   >
    Delaware corporation,  FISCHER                 >
    INVESTMENTS, INC., a Delaware                  >
    corporation,                                   >>
                    and                            >>
    FISCHER ENTERIPRISES, INC.,                     >
    a dissolved Delaware corporation                >
    and nominal defendant,                          >>
                    Defendants.                     >
    
    
                                   REPLY BRIEF IN SUPPORT OF THE
                                  MOTION TO DISMISS OF DEFENDANTS
    
    
    
                                                    DIJANE, MORRIS & HECKSCHER LLP
                                                    Thomas P. Preston, Esquire
                                                    Jan A. T. van Amerongen, Jr., Esquire
                                                     1201 Market Street
                                                    Suite 1500
                                                    Wilmington, Delaware 1980 1
                                                    (302) 657-4945
                                                    Attorney for Defendants
    August  5,1999
    
    
    
                                                                                                       
    
                                                       TABLE OF CONTENTS
    
    
    Table of Authorities . . . , . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
    
    SNIPPETS:
  • IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
  • Which She Relies, Establish That This Complaint Is Derivative Only
  • Bars Plaintiffs Claims Against Richard S. Fischer.
  • Del.
  • Supr., 722 A.2d 1243.
  • Development Corp., Fischer Investments, Inc. and Fischer Enterprises, Inc. have
  • Plaintiff concedes as to Count III of her Complaint.
  • to Defendants' Motion to Dismiss at p. 1,
  • assets by Fischer Enterprises, Inc. to Cape Shores Associates.
  • and Plaintiff thereby s-uffered injury as a stockholder of that company.
  • pursuant to Delaware corporate law following the sale of its principal asset to Cape Shores
  • As one of the shareholders in Fischer
  • Enterprises, Inc., Plaintiff concedes she received her pro-rata share of the funds generated
  • by the stockholders of Fischer Enterprises,
  • The only claims before this Court involve the sale of the assets of Fischer Enterprises,
  • in In Re Tri-Star Pictures.
  • but their voting power was drastically reduced while the voting power of defendant
  • Likewise, in Parnes v. Ballv Entertainment Corn., Del.
  • brought challenging the fairness of a merger.
  • because "a stockholder who directly attacks the fairness or validity of a merger alleges an
  • The allegations of Plaintiff go to the adequacy of the:price paid for the assets of Fischer
  • Finally, Plaintiffs reliance on Boyer v. Wilmington Materials, Inc., Del.
  • and cannot argue that Cape Shores Associates was merely a continuation of Fischer Enterprise,
  • Plaintiff points to the identification of the parties to the release language contained
  • As the cases cited in both Defendants' Opening Brief at 13 and Plaintiffs Answering

  • 9 . PLAINTIFFS ANSWERING BRIEF IN OPPOSTION TO DEFENDANTS MOTION TO DISMISS

    EXTRACTED KEY WORDS
    FISCHER
    COURT
    PLAINTIFF
    FISCHER ENTERPRISES
    STOCKHOLDERS
    CAPE SHORE
    DELAWARE
    FACTS
    DEL
    COMPL
    DISMISS
    COMPLAINT
    MOTION
    FIDUCIARY DUTIES
    ALLEGES
    DERIVATIVE CLAIMS
    RICHARD FISCHER
    UNFAIR PRICE
    FIDUCIARY DUTY
    AGREEMENT
    PARTNERSHIP
    TRI-STAR PICTURES
    CONNECTION
    DIRECTORS
    TRANSACTION
    CONTROLLING STOCKHOLDER
    DISTRIBUTION
    OPPOSITION
    AUTHORITIES
    
             IN THE COURT OF CMANCERY OF THE S'rATE  OF DELAWARE
    
                              IN AND FOR NEW CASTLE COUNTY
    
    JOANNE `T. FISCHER, individually         >
    and derivatively,                        >>
                     Plaintiff,              >>
             V.                              >
    
                                             )
    ROBERT A. FISCHER, ROBERT A.             )
    FISCHER, JR., RICHARD S. FISCHER,        )
    DEBRA  FISCHE!R, DONNA                   >      CA. No. 16864
    FISCHER-SCRIVO, NORMAN  K.               >
    HAMSTEAD, CAPE SHORE                     >
    ASSOCIATES, a Delaware partnership,      >
    FISCHER DEVELOPMENT CORP., a             >
    Delaware corporation, FISCHER            >
    INVESTMENTS, INC., a Delaware            >
    corporation,                             >>
                      and                    )1
    FISCHER ENTERPRISES, INC.,               >
    a dissolved Delaware corporation         >
    and nominal defendant,                   >>
                     Defendants.             >
    
                     PILAINTIFF'S ANSWERING BRIEF IN OPPOSITION
                             TO DEFENDANTS' MOTION TO DISMISS
    
                                             SMITH, KATZENSTEIN & FURLOW LLP
                                             Craig B. Smith
                                             Michele  C. Gott
                                             Kathleen M. Miller
                                             800 Delaware Avenue, P.O. Box 410
                                             Wilmington, Delaware 19899
                                             (302) 652-8400
    July 23, 1999                            Attorneys for Plaintiff
    
    
    Document  #: 103782-I
    98377
    
    
    
                                               TABLE OF CONTENTS
    
    
    
    TABLE OF AUTHORITIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I . .
    
    SNIPPETS:
  • IN THE COURT OF CMANCERY OF THE S'rATE OF DELAWARE
  • PILAINTIFF'S ANSWERING BRIEF IN OPPOSITION
  • TO DEFENDANTS' MOTION TO DISMISS
  • STATEMENT OF FACTS.
  • From That Suffered by Other Stockholders of Fischer Enterprises
  • THE 1989 .PROPERTY SETTLEMENT ENTERED INTO BY PLAINTIFF
  • AND RICHARD FISCHER DOES NOT f3AR PLAINTIFF'S PRESENT
  • Bayer v. Wilmington Materials, Inc., Del.
  • In re Tri-Star Pictures, Inc. Litigation, Del.
  • Statutes and Other Authorities
  • Her complaint alleges that the individual defendants breached
  • fiduciary duties owed to her and Fischer Enterprises in selling the Company's primary asset
  • to Cape Shore, a partnership owned indirectly by all individual defendants other than Mr.
  • was designed to exclude plaintiff from the Company at an unfair price (Compli.
  • states derivative claims only', and all individual and derivative claims against Richard
  • Fischer on the grounds that they are barred by a property settlement agreement entered into
  • by plaintiff and Richard Fischer in March 1989 in connection with their divorce (Dkt.
  • plaintiff served as a member of the board of directors of Fischer
  • Certificate of Dissolution on or about December 28, 1995 (Compl.

  • 10 . OPENING BRIEF IN SUPPORT OF MOTION TO DISMISS OF DEFENDANTS

    EXTRACTED KEY WORDS
    DEFENDANTS
    CAPE SHORES
    PLAINTIFF
    COURT
    RICHARD
    DEL
    DELAWARE
    FISCHER ENTERPRISES
    FISCHER INVESTMENTS
    COMPLAINT
    ROBERT
    PROPERTY SETTLEMENT
    SUPR
    SUPPORT
    DISMISS
    NATURE
    DERIVATIVE CLAIMS
    FIDUCIARY DUTY
    SHAREHOLDERS
    PLAINTIFF ALLEGES
    INDIVIDUAL CAPACITY
    STOCKHOLDERS
    CORPORATE WASTE
    ALLEGATIONS
    FIDUCIARY DUTIES
    DIRECTORS
    DEBRA FISCHER
    DONNA FISCHER-SCRIVO
    CORPORATE ASSETS
    
                 IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
    
                                    IN AND FOR NEW CASTLE COUNTY
    
    JOANNE T. FISCHER, individually                   )
    and derivatively,                                 )>
                     Plaintiff,                       >>
           V.                                         >
                                                      >
    ROBERT A. FISCHER, ROBERT A.                     >
    FISCHER, JR., RICHARD S. FISCHER,                >
    DEBRA FISCHER, DONNA                             >       C.A. No. 16864-NC
    FISCHER-SCRIVO, NORMAN K.                        >
    HAMSTEAD, CAPE SHORE                             )
    ASSOCIATES, a Delaware partnership,              >                                :, i
    FISCHER DEVELOPMENT CORP., a                                            "/ :`\
                                                     >                      ., \`>,,
    Delaware corporation, FISCHER                    >                                  /, i
    INVESTMENTS, INC., a Delaware                                            :
                                                     >                           /
    corporation,                                                                 "
                                                     >                                "' .
                                                      )
                     and                             >                                 1 `,
                                                                                        :. 1
                                                     >                                   ;`\
                                                                                         `*-. ,, `:
    FISCHER ENTERPRISES, INC.,                       >                                          -,c
    a dissolved Delaware corporation                 >
    and nominal defendant,                            )>
                     Defendants.                     >
    
                    OPENING BRIEF IN SUPPORT OF THE MOTION TO DISMISS
           OF DEFENDANTS ROBERT A. FISCHER, SR., ROBERT A. FISCHER, JR.,
            RICHARD S. FISCHER, DEBRA FISCHER, DONNA FISCHER-SCRIVO,
                 NORMAN K. HAMSTEAD, CAPE SHORES ASSOCIATES, FISCHER
                         DEVELOPMENT, INC., FISCHER INVESTMENTS, INC.
                                     and FISCHER ENTERPRISES, INC.
    
                                                      DUANE, MORRIS & HECKSCHER LLP
                                                      Thomas P. Preston
                                                      Jan A. T. van Amerongen, Jr.
                                                      1201 Market Street
                                                      Suite 1500
                                                      Wilmington, Delaware 1980 1
                                                      (302)657-4945
                                                      Attorney for Defendants
    Dated: June 4, 1999
    
    
    SNIPPETS:
  • IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
  • OPENING BRIEF IN SUPPORT OF THE MOTION TO DISMISS OF DEFENDANTS ROBERT A. FISCHER, SR.,
  • DEVELOPMENT, INC., FISCHER INVESTMENTS, INC.
  • NATURE AND STAGE OF PROCEEDINGS.
  • Abetting Brought By Plaintiff In Her Individual Capacity Must Be Dismissed
  • Because Such Claims May Only Be Brought As Derivative Claims
  • Claims Against Richard S. Fischer Must Be Dismissed Because Such Claims
  • In re Brae Corp. Shareholders Lit&., Del.
  • Supr., 575 A.2d 1131.
  • On December 22,1998, Joanne T. Fischer, filed a complaint in this Court
  • Investments, Inc.,, and Fischer Enterprises, Inc.,
  • 2) waste of the corporate assets of Fischer Enterprises by the individual defendants to
  • defendants in the breach of their fiduciary duties by Cape Shores,
  • On March 3, 1999, defendants filed a motion to dismiss the complaint pursuant to Court of
  • in support of their April 5,
  • Breaches of fiduciary duty, corporate waste, and aiding and abetting breaches of fiduciary
  • Plaintiff alleges in her complaint that a 1989 stipulated property settlement between them
  • The Complaint sets forth the following allegations.
  • All of the individual defendants are directors of Fischer Enterprises.
  • constitute all of the stockholders of Fischer Investments.
  • The Claims Of Breach Of Fiduciary Duty, Corporate Waste And Aiding And Abetting Brought By
  • Plaintiff alleges in Count I that the sale of the note was conducted in such a way that the
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