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KASTER v. MODIFICATION SYSTEMS, INC.

No. 231, Docket 83-7426.

731 F.2d 1014 (1984)

Charles G. KASTER, Warren A. Frank, Francis W. Murray, Richard O. Hillery and John A. Makarczyk, Individually and as Shareholders of Modification Systems, Inc. Suing on behalf of themselves and all other shareholders of Modification Systems, Inc., similarly situated and in the right of Modification Systems, Inc., Plaintiffs-Appellants, v. MODIFICATION SYSTEMS, INC., Francis W. Meyers, Batiste DeLuca, E.L. Thomas and Frank L. Kelly, Defendants-Appellees.

United States Court of Appeals, Second Circuit.

Decided March 27, 1984.

Attorney(s) appearing for the Case

Jeffrey L. Liddle, New York City (Richard B. Schaeffer, David D. Howe, Liddle & Henze, New York City, of counsel), for plaintiffs-appellants.

John Patrick Deveney, New York City (Charles Chehebar, Kellner, Chehebar, Deveney & Grizzle, New York City, of counsel), for defendants-appellees Meyers, DeLuca, Thomas and Kelly.

Charles D. Bock, New York City (Linda Meisler, Carro, Spanbock, Fass, Geller, Kaster & Cuiffo, New York City, of counsel), for defendant-appellee Modification Systems, Inc.

Before FRIENDLY, VAN GRAAFEILAND and MESKILL, Circuit Judges.

MESKILL, Circuit Judge:

This is an appeal from the dismissal of a shareholders' derivative suit by the United States District Court for the Southern District of New York, Lowe, J., pursuant to Fed.R.Civ.P. 12(b)(6). The suit was dismissed for failure to state a claim upon which relief could be granted because the complaint failed to allege with particularity that a demand had been made on the directors, or adequate facts to excuse a demand as required by Fed.R.Civ...

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