Castleman
Castleman v. Hughes
Opinion
Lead Opinion
This is an appeal from a judgment of dismissal and from an order denying motions of appellant Bernard Reich, Esq., that the court determine and enter judgments in his favor for attorney’s fees and costs as against certain of the parties.
The suit is, or was, one of several shareholders’ derivative suits brought in both state and federal courts throughout the United States alleging damage to RKO Pictures Corporation through asserted mismanagement on the part of its corporate officers, mainly Howard R. Hughes. For an account of the events giving rise to the litigation consult Schiff v. RKO Pictures Corp., Del.Ch., 104 A.2d 267 . The validity of a sale to Hughes of all the assets of that cor *534 poration, including all causes of action held by it against any person, including Hughes, had prior to the decision below been upheld by the Delaware Chancery Court in the above cited case, rendering the present action moot. Also prior to the decision a suit involving the same issues here presented had gone to judgment in a Nevada state court. The court below held, and we agree, that the Nevada judgment is to be given the effect of res judicata. 1 There was no error in dismissing the…