Western Pacific Railroad Corporation and Alexis I. Dupont Bayard, Receiver v. Western Pacific Railroad Company

This suit, here on appeal from a summary judgment of dismissal, represents an attempt by appellants to renew litigation heretofore finally determined against them in Western Pac. R. R. Corp. v. Western Pac. R. Co., 9 Cir., 197 F.2d 994 , rehearing denied 9 Cir., 206 F.2d 495 . In that litigation, generally dubbed the “tax savings” suit, appellants were by the district court denied all relief; and we affirmed its judgment. Certiorari was denied 346 U.S. 910 , 74 S.Ct. 241 . Appellee has moved to dismiss or affirm on the ground that the appeal is frivolous.

We need not here undertake to review or restate the issue or issues resolved in the former suit. Enough to say that they did not materially differ from those sought now to be relitigated. In their complaint, in attempted justification of the present action, appellants quote excerpts from this court's opinion appearing at pages 1004 and 1005 of 197 F.2d, reading as follows: “The Corporation .was the sole owner of the subsidiary’s capital stock. As such it was under a duty to deal fairly with the subsidiary having full regard for the interests of the creditors and holders of other securities. Consolidated Rock Products Co. v.…