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UIP Founder’s Widow Gets Stock Suit Against Co-Founder Revived

June 29, 2021, 5:22 PM

Delaware’s top court has reinstated a challenge by the widow of a UIP Cos. co-founder to a stock issue aimed at diluting her inherited stake in the commercial real estate company as part of an effort to undermine her previous lawsuit seeking to have a tiebreaking director appointed.

“It is not seriously disputed” that the stock issue’s purpose was to dilute Marion Coster’s ownership, “block her attempts to elect directors, and avoid a possible court-appointed custodian,” Chief Justice Collins J. Seitz Jr. wrote for a unanimous Delaware Supreme Court late Monday.

“In a vacuum,” it may be that the price ...

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