Maruman Integrated Circuits, Inc. v. Consortium Co.

Plaintiff appeals from the denial of its motion to disqualify counsel for defendant H. Dan Izumi. We find this appeal to be without merit and affirm.

Facts

Plaintiff Toshiba Semiconductor Inc. (formerly known as Maruman Integrated Circuits, Inc.) is a corporation engaged in the development and manufacture of semiconductors, with its principal place of business in Sunnyvale, California. From 1975 to February 1980, defendant Izumi was the president, chief executive officer, director and shareholder of plaintiff corporation.

On March 7, 1980, plaintiff filed an action seeking a declaration that a long term lease purportedly executed on its behalf by defendant Izumi was void and had no force or effect. Plaintiff claimed defendant Izumi had no authority to execute the lease and that by entering into such an agreement he breached his fiduciary duty. The law firm of Fenwick, Stone, Davis & West (Fenwick) was counsel for plaintiff in this action. Defendant Izumi retained the law firm of Dinkelspiel, Donovan and Reder (Dinkelspiel) to represent him in the matter.

From 1975 to 1980, G. Tipton Canty (Canty) was employed by plaintiff corporation. In April 1980 she terminated her…