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CHERNER v. TRANSITRON ELECTRONIC CORPORATION

Civ. A. No. 61-857.

201 F.Supp. 934 (1962)

Marvin CHERNER and Cherner Clothing Co., a Partnership, by K. Cherner, Rachael Cherner, and Marvin Cherner, Partners, on behalf of themselves and as respresentatives of all other persons similarly situated, v. TRANSITRON ELECTRONIC CORPORATION, David Bakalar, Leo Bakalar, Hylan Freed, Wilbar Whittemore, Paul H. Messer, Russell Baker, and Merrill Lynch, Pierce, Fenner and Smith, Incorporated.

United States District Court D. Massachusetts.

February 5, 1962.

Attorney(s) appearing for the Case

Louis Loss, Cambridge, Mass., James D. St. Clair, Boston, Mass., Jacob Green, Boston, Mass., Marvin Cherner, Birmingham, Ala., for plaintiffs.

Harold M. Willcox, Herrick, Smith, Donald Farley & Ketchum, Brooks Potter, James C. Heigham, Choate, Hall & Stewart, Boston, Mass., for defendants.

WYZANSKI, District Judge.

Purchasers of 200 shares of the stock of the defendant Transitron bring this action under the Securities Act of 1933. The first two counts of the amended complaint rest on § 11 of the Act (15 U.S. C.A. § 77k) and on a statement in each of the two registration statements filed with the Securities and Exchange Commission that Transitron "holds no patent licenses from others requiring the payment of royalties and knows of no patent...

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