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DANIELS v OSAGE SYSTEMS GROUP Click to find out why . . .



Keywords & Phrases
CaseNo: C.A. No. 17,277, CourtName: IN TIRE COURT OF CHANCERY OF THE STATE OF DELAWARE, Plaintiff: DANIELS, State: DE Delaware, UniqueCaseRef: DE>CC>00017277, CourtCode: CC, Daniels, Osage, Certificate, Stock, Shares, Appel, Replacement, Osage Systems Group, Pacific Rim, David, Del, Chancery, Uniform, Transfer Agent, Stocktrans, Owner, Purchase, Delaware, Discharge, Duty, Corporate Law, Reasonable Certainty, Common Stock, Request, Bond, Osage Systems, Securities, Issuance, Lost, Investment, Defendant Osage, Allegations, Accordance, Reason, Open Penalty Bond, District, Securities Purchase Agreement, Exhibit, Castle County, Princeton, Authorities, Possession , ContentID: 120240794

Case Documents
1 2000-03-03 DEFENDANTS REPLY BRIEF
[ see first page and extracted highlights below  ] ItemID: 102797
11 pages
PDF
2 2000-02-29 PLAINTIFFS OPENING PRETRIAL BRIEF
[ see first page and extracted highlights below  ] ItemID: 102799
16 pages
PDF
3 2000-02-29 DEFENDANTS OPENING PRETRIAL BRIEF
[ see first page and extracted highlights below  ] ItemID: 102798
4 pages
PDF
4 1999-07-26 DEFENDANTS VERIFIED ANSWER TO COMPLAINT
[ see first page and extracted highlights below  ] ItemID: 101858
7 pages
PDF
5 1999-07-02 VERIFIED COMPLAINT
[ see first page and extracted highlights below  ] ItemID: 101859
12 pages
PDF
Total Documents: 5 documents , 50 pages
Price: $ 39.95


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1 . DEFENDANTS REPLY BRIEF

EXTRACTED KEY WORDS
DANIELS
REPLACEMENT
OSAGE
REASON
APPEL
SHARES
LOST
BOND
DEL
REASONABLE CERTAINTY
STOCK
COURT
OIL
SECURITY
INDEMNIFY
ISSUER
POSSESSION
DELAWARE
COMMERCIAL CREDIT
PURCHASER
OWNER
REQUEST
TRANSFER AGENT
DISTRICT
INSTRUMENT
TRANSACTIONS
DEALINGS
REISSUE
PURSUANT
     IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE

                     IN AND FOR NEW CASTLE COUNTY

                                                             I-.;-
                                                             ^   "- .
DAVID M. DANIELS

              Plaintiff,          ;
                                                             :.
     V .                          ; Civil Action No. 17277NC
                                  1                           'i,  is
                                                              1
OSAGE SYSTEMS GROUP, INC.                                             t
                                  )
a Delaware Corporation,

              Defendant.


     DEFENDANT OSAGE SYSTEMS GROUP, INC. 'S REPLY BRIEF




OF COUNSEL                             J. R. JULIAN, P.A.
H. MARC TEPPER                         J. R. Julian
Buchanan Ingersoll, P.C.               824 Market Street Mall
Eleven Penn Center, 14th Floor         Suite 1001
1835 Market Street                     P.O. Box 2l.71
Philadelphia, PA 19103-2895            Wilmington, DE 19899-2171
(215) 665 3861                         Attorney's for Defendant
                                       (302) 658-6700




Dated: March 3, 2000



                     TABLE  OF  AUTHORITIES

CASES

Castro v. ITT Corporation,
     Del.Ch., 598 A.2d 674 (1991)....................6

tory v. Tampax Inc. ,
SNIPPETS:
  • IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
  • DAVID M. DANIELS
  • DEFENDANT OSAGE SYSTEMS GROUP, INC. 'S REPLY BRIEF
  • Graham v. Commercial Credit Company, Del.Ch., 194 A.2d 863....................3
  • North European Oil Royalty Trust, Del.Ch., 490 A.2d 558....................3,4,6
  • Del.
  • TO ISSUE A REPLACEMENT SHARE CERTIFICATE
  • DANIELS HAS NOT ESTABLISHED HIS BURDEN "TO A REASONABLE CERTAINTY" THAT THE ORIGINAL
  • common stock that Daniels had purchased in November 1997.
  • Appel.
  • District Court for the Eastern District of Pennsylvania on or
  • owner of record of 180,000 shares of Osage.
  • C&age instructed Daniels to request a replacement
  • Osage's transfer agent, Stocktrans, Inc..
  • Osage is neither privy to nor aware of transactions
  • and/or dealings between Daniels and Mr. Appel.
  • OSAGE HAS SUFFICIENT CAUSE IN REFUSING TO REISSUE A REPLACEMENT SHARE CERTIFICATE TOI DANIELS.
  • Pursuant to 8 De1.C.
  • that a bond be given sufficient to indemnify it against any
  • Whether or not,a lost instrument
  • bond is required is within the discretion o:E the corporation.
  • hrhere the owner of a security claims that
  • so requests before the issuer has
  • acquired by a bona fide purchaser;
  • that failure is a valid reason for Osage's
  • DANIELS HAS NOT ESTABLISHED HIS BU:RDEN "TO A REASONABLE CERTAINTY" THAT THE ORIGINAL
  • has not been in possession of Daniels' share certificate.

  • 2 . PLAINTIFFS OPENING PRETRIAL BRIEF

    EXTRACTED KEY WORDS
    OSAGE
    CERTIFICATE
    COURT
    APPEL
    SHARES
    STOCK
    CHANCERY
    UNIFORM
    PLAINTIFF
    DEL
    DAVID
    OSAGE SYSTEMS GROUP
    DISCHARGE
    DUTY
    CORPORATE LAW
    REPLACEMENT
    STOCKTRANS
    ISSUANCE
    DEFENDANT
    OPEN PENALTY BOND
    TRANSFER AGENT
    REASONABLE CERTAINTY
    CASTLE COUNTY
    PRINCETON
    AUTHORITIES
    VOTING TRUST
    UNIFORM COMMERCIAL CODE
    INTERPLEADER ACTION
    AGREEMENT
    
             IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
    
                           IN AND FOR AND NEW CASTLE COUNTY
    
    
    DAVID M.  DANIELS,
    
                   Plaintiff,
                                             CIVIL ACTION NO. 17277NC
                                 v. :
    
    OSAGE SYSTEMS GROUP, INC., :
    a Delaware Corporation,
    
                   Defendant.
    
    
    
    
    
            PLAINTIFF, DAVID M. DANIEL'S, OPENING PRETRIAL BRIEF
    
    
                                     MORRIS, JAMES, HITCHENS  & WILLIAMS LLP
                                     Joseph R. Slights, III
    OF COUNSEL:                      Nancy W. Law
                                     222 Delaware Avenue, lo* Floor
    MASON, TAYLOR                    P.O. Box 2306
    & coLIccHIol                     Wilmington, DE 19899
    Philip M. Colicchio              (302) 888-6800
    Robert W. Keddie, III
    104 Carnegie Center              Attorneys for Plaintiff,
    Suite 201                        David M. Daniels
    Princeton, NJ 08540
    (609) 987-0022
    
    
    
                                                     TABLE OF CONTENTS
    
    
    
    TABLE OF AUTHORITIES . . . . . . . . . . . . . . ii
    
    NATUREANDSTAGEOFTIIEPROCEEDINGS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
    
    STATEMENT OF FACTS . . . . . .  I . . . . . . .  .3
    
    ARGUMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
    
    SNIPPETS:
  • IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
  • IN AND FOR AND NEW CASTLE COUNTY
  • DAVID M. DANIELS,
  • PLAINTIFF, DAVID M. DANIEL'S, OPENING PRETRIAL BRIEF
  • TABLE OF AUTHORITIES.
  • MR. DANIELS AS SET FORTH IN DELAWARE GENERAL
  • MR. DANIELS AS SET FORTH IN DELAWARE UNIFORM
  • OSAGE HAS FAILED TO DISCHARGE ITS DUTY TO
  • Del C
  • David M. Daniels, filed this action to compel Defendant, Osage Systems
  • Group, Inc. to issue him a replacement share certificate for the 180,000 shares
  • of Osage common stock Mr. Daniels purchased in November 1997.
  • the Montgomery County Court of Common Pleas compelling his deposition, Mr. Appel
  • Corporate Laws $0 167, 168 and/or the Uniform Commercial Code Article 8, 6 Del.
  • 8-405and/or Delaware General Corporate Law 5 158, Mr. Daniels is entitled to his
  • Mr. Daniels entered into a Securities Purchase Agreement with PRE,
  • of Osage, and on March 10,1998, changed its name to Osage Systems Group, Inc..
  • trustee Bentley was required to issue Mr. Daniels a Voting Trust Certificate evidencing this
  • The timing of this contemplated interpleader action is especially suspicious given the fact
  • Daniels contact Osage's transfer agent, Stocktrans, Inc. and inquired into
  • the prerequisites for the issuance of a replacement share certificate.
  • Daniels obtained the proper open penalty bond from Travelers Casualty and Surety
  • Daniels clearly satisfies this "reasonable certainty" standard.4
  • Suite 201 Princeton, NJ 08540

  • 3 . DEFENDANTS OPENING PRETRIAL BRIEF

    EXTRACTED KEY WORDS
    DANIELS
    OSAGE
    COURT
    BOND
    REPLACEMENT CERTIFICATE
    DISTRICT
    PLAINTIFF
    LAW
    SHARES
    POSSESSION
    HMA
    LOST
    ESQ
    FINDINGS
    DAVID
    REQUEST
    INDEMNITY BOND
    EASTERN DISTRICT
    PENNSYLVANIA
    PENDING
    REGARD
    STOCK
    GLG7
    ARAO OIL CORE
    DEL
    COUNSEL
    MARC TEPPER
    UNDERSIGNED HEREBY CERTIFIES
    PRETRIAL OPENING
    
          IN  TIRE COURT OF CHANCERY OF THE STATE: OF DELAWARE
    
                              IN AND FOR NEW CASTLE COUNTY                               --.
                                                                                    9 ;--,j
    DAVID M. DANIELS                                                                . .
    
                  Plaintiff,
                                               ;
          V.                                                Civil Action No. 172i'T/NC
                                               ;                                    1
    OSAGE SYSTEMS GROUP, INC.                                                       c:i
                                                                                    _ . .
                                                                                    , I.
    a Delaware Corporation,                    1                                    -7- .'~
                  Defendant.
    
                        DEFENDANT OSAGE  SlYSTEMS GROUP,                 INC. 'S
                                    OPENING PRETRIAL BRIEF
          (PROP'OSED FINDINGS OF FACT AND CONCLUSIONS OF LAW)
    
          Defendant, Osage Systems Group, Inc.                       ("Osage") , submits the
    
    following pretrial brief in accordance with the Court's Scheduling
    
    Order.
    
    I.    ProzJosed  Findings of Fact
    
          1.      Plaintiff, David M. Daniels ("Daniels") is the owner of
    
    record      of:      180,000     shares         (the      "shares") of     Paciflic         Rim
    
    Entertainment,          Inc.    ("Pacific :Rim"), now known as Osage Systems
    
    Group, Inc.
    
          2.      On numerous occasions, beginning in the fall of 1998,
    
    Daniels requested that Osage deliver to him a share certificate
    
    (the `cert:ificate") for his shares.
    
          3.           Stoclctrans, Inc., Osage's transfer agent at the time,
    
    prepared the original share certificate for the shares.
    
          4.           Osage has no information regarding the actions of the
    
    transfer agent after the original share certificate was prepared.
    
    SNIPPETS:
  • IN TIRE COURT OF CHANCERY OF THE STATE:
  • (PROP'OSED FINDINGS OF FACT AND CONCLUSIONS OF LAW)
  • Plaintiff, David M. Daniels is the owner of
  • Daniels requested that Osage deliver to him a share certificate
  • prepared the original share certificate for the shares.
  • presently Ln the possession of HMA Associates,
  • Mr. Daniels' certificate has not been lost.
  • connectj.on with his request for a replacement certificate until
  • 12.:Plaintiff has not secured the appropriate indemnity bond
  • On or about September 2, 1999, HMA Associates, Inc.
  • Eastern District of Pennsylvania, captioned JQTA Associates, Inc.
  • Stev&B, Rosner and David M
  • pending in the U.S. District Court for
  • with regard to the
  • A corporation may issue a new certificate of stock only
  • Arao Oil Core., 46 Del.
  • OF COUNSEL
  • H. MARC TEPPER
  • The undersigned hereby certifies that two copies of the
  • attached Pretrial Opening Brief were hand delivered on this
  • Joseph R. Slights, III, Esq.

  • 4 . DEFENDANTS VERIFIED ANSWER TO COMPLAINT

    EXTRACTED KEY WORDS
    CERTIFICATE
    OSAGE
    REPLACEMENT
    DEFENDANT OSAGE
    TRANSFER AGENT
    ALLEGATIONS
    ACCORDANCE
    STOCKTRANS
    OSAGE SYSTEMS GROUP
    REQUEST
    LAW
    PROPER REQUEST
    PACIFIC RIM ENTERTAINMENT
    OBTAINING
    PRIVY
    TRANSACTIONS
    DEALINGS
    APPEL
    REFERENCE
    SWORN
    HEREBY CERTIFY
    VERIFICATION
    PLAINTIFFS CLAIMS
    RESPONSE
    OSAGE INSTRUCTED PLAINTIFF
    PREREQUISITES
    SHARES
    CORPORATION LAW SPEAK
    THEMSLEVES
    
                                                                                                       
                                                                                                      
                     IN THE COURT OF CHAI\ICERY OF THE STATE OF DELAidRE                               
                                                                                                       
    
                                    IN AND FOR NEW CASTLE DELAWARE                              ;i'
                                                                                                 f ,
    DAVID  M. DANIELS                                        >
                                          Plaintiff          >                                    ^  "
                                                                   Civil Action No. 17277NC           
                       V.                                    >
                                                             >                                        
                                                                                                       
    OSAGE SYSTEMS GROUP, INC.                                >
    a Delaware corporation                                   >
                                          D e f e n d a n t   )
    
    
                               DEFENDANT OSAGE SYSTEM GROUP,  INC.`,5
                                        VERIFIED ANSWER TO COMPLAINT
    
            l.-3.            Admitted.
    
           4.                Although this averment constitutes a conclusion of law, defendant Osage
    
    Systems, Group, Inc. ("Osage") does not contest jurisdiction.
    
            5.-10.           Defendant admits that plaintiff is the owner of record of 180,000 shares of
    
    Pacific Rim Entertainment, Inc. ("Pacific Rim"), now known as Osage Systems Group, Inc. All
    
    other allegations are not relevant to plaintiffs claims, and are denied by defendant Osage.
    
            11.              Denied.      Osage issued and forwarded a stock  certi.ficate  which
    
    plaintiffs share ownership to either plaintiff or plaintiffs agent.
    
            12.              Admitted.
    
            13.              Admitted.
    
            14.-19.          Defendant admits that plaintiff is the owner of record of 180,000 shares of
    
    Pacific Rim Entertainment, Inc. now known as Osage Systems Group, Inc. All other allegations
    
    are not relevant to plaintiffs claims, and are denied by defendant Osage.
    
    
    
    
    SNIPPETS:
  • Pacific Rim Entertainment, Inc., now known as Osage Systems Group, Inc.
  • other allegations are not relevant to plaintiffs claims, and are denied by defendant Osage.
  • plaintiffs share ownership to either plaintiff or plaintiffs agent.
  • It is admitted that plaintiff has requested a replacement share certificate;
  • response, Osage instructed plaintiff to request a replacement certificate in accordance with
  • plaintiff has failed to comply with the prerequisites for obtaining a re:placement
  • shares on his behalf.
  • Defendant Osage is neither privy to nor aware of transactions and/or dealings
  • between plaintiff and Mr. Appel.
  • are incorporated herein by reference as if set forth at length.
  • Corporation Law speak for themselves.
  • obtaining a replacement certificate from Osage's transfer agent, Stocktrans, Inc.
  • certificate, however, it is denied that plaintiff has made a proper request for a replacement
  • themsleves.
  • ti &/&$&~~/$`being duly sworn according to law, hereby certify that I am
  • authorized to execute this Verification on behalf of Osage Systems Group,
  • SWORN TO AND SUBSCRIBEL> b

  • 5 . VERIFIED COMPLAINT

    EXTRACTED KEY WORDS
    OSAGE
    CERTIFICATE
    STOCK
    SHARES
    PACIFIC RIM
    PURCHASE
    OSAGE SYSTEMS GROUP
    OWNER
    COMMON STOCK
    APPEL
    DELAWARE
    OSAGE SYSTEMS
    SECURITIES
    PLAINTIFF
    INVESTMENT
    DAVID
    COURT
    DEFENDANT
    SECURITIES PURCHASE AGREEMENT
    EXHIBIT
    COMPLAINT
    HERETO
    EXCHANGE
    EVIDENCING
    REPLACEMENT
    INVESTMENT BANKER
    COMMISSION FILINGS
    CONTROLLING SHAREHOLDER
    REQUESTING
    
                                                                                                       
    
                    FN THE COURT OF CHANCERY OF TJ!IE STATE OF DELAWARE
    
                                      IN AND FOR NEW CASTLE COUNTY
    
    DAVID M.  DANIEIS,                         >                                            --__     i$
                                               >                           --,<      I      .c       I,
                        Plaintiff,             >      Civil Action No.                     - - -
                                               1
              V                                                                                        
                                               )
                                               >
    OSAGE SYSTEMS GROUP, INC  I  )
              a Delaware corporation,          >>
                        Defendant.             >
    
                                          VERIFIED COIWL?J[N'l'
    
                        Plaintiff, David M. Daniels, by and through his counsel, by way of verified
    
    complaint against the defendant, states as follows:
    
                                        PAiRTIES  AND JURISDICTI:ON
                                                              _--
    
              1.        Plaintiff, David M. Daniels ("Mr. Dan&"),  is an individual and citizen of the
    
    state of Texas
    
              2         Defendant, Osage Systems Group, Inc. (`"Osage"),  is aDelaware  Corporation
    
    with its principal place of business in Phoenix, Arizona
    
              3         Service ofProcess can be eff'ected  upon &age by serving its registered agent,
    
    Corporation Service Company, 1013 Centre Road, Wilmington, Delaware 19805
    
              4         Jurisdiction before this Court is proper pursuant to 8 Del.
                                                                                    - - C.
                                                                                           .- 5 168 and
    
    Del. C
    ~- 5 341
    
    
    
                               SUBSTANTIVE ALLEGA.TIONS
    
    
    SNIPPETS:
  • FN THE COURT OF CHANCERY OF TJ!IE STATE OF DELAWARE
  • OSAGE SYSTEMS GROUP, INC I)
  • Plaintiff, David M. Daniels, by and through his counsel, by way of verified
  • complaint against the defendant, states as follows:
  • Mr. Daniels entered into a Securities Purchase Agreement with Pacific Rim
  • (a copy is attached hereto as Exhibit "A"), and forwarded a $20,000 payment to the company.
  • Pacific Rim accepted this payrnent as consideration for Mr. Daniels' purchase.
  • wherein 26 accredited investors purchased over 3,185,OOO shares in Pacific Rirn At the time
  • of this offering, Pacific Rim's stock was registered and listed on the OTC Bulletin Board,
  • 10 Mr. Howard M. Appel is an investment banker from
  • Securities and Exchange Commission indicates that Mr. Daniels is the owner of 200,000
  • shares of common stock of Pacific Rim.
  • Upon information and belief Mr. Appel was the investment banker primarily
  • Osage deliver to him a share certificate for his remaining 180,000 shares of stock.
  • Coady suggested that Mr. Daniels write Mr Appel a letter requesting his share
  • 33 Plaintiff Daniels hereby incorporates by reference all of the allegations set
  • forth in paragraphs 1 through 32 of the verified complaint as if same were set.
  • Pacific Rim evidencing this purchase.
  • Commission filings recognize that Mr. Daniels is the lawful owner of the aforementioned
  • possession of Mr. Appel, an investment banker, who is a controlling shareholder of Osage.
  • refusing to issue him a replacement certificate.
  •    |