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Zildjian ruling upheld
DailyGleaner.com (New Brunswick, Canada)
Friday, July 10, 2009
By DON MACPHERSON, [email protected]
The New Brunswick Court of Appeal has upheld a lower court ruling that
awarded about $750,000 to a disgruntled member of a world-famous
cymbal-making family.
Wilson (Bill) Zildjian filed a lawsuit against Meductic-based company
Sabian Ltd., Sabian Inc., and his parents and his siblings last year.
As part of that lawsuit, Bill Zildjian claimed he was owed dividends
as a shareholder of Sabian Ltd., which was founded by Robert Zildjian,
Bill's father, in 1981.
In a December ruling, Court of Queen's Bench Justice Paulette Garnett
ruled in Bill Zildjian's favour on a summary-judgment motion about the
dividends.
That ruling awarded Bill Zildjian about $750,000, factoring in the
determined value of the dividends plus interest.
The Zildjian family and the company appealed the ruling, and in a
decision issued last week, a Court of Appeal tribunal also sided with
Bill Zildjian.
The province's highest court dismissed the appeal and awarded Bill
Zildjian additional costs of $5,000.
On the original motion, legal counsel for Sabian and the rest of the
Zildjian family argued that Bill Zildjian wasn't owed dividends for
his Class B shares in the company because he accepted cash gifts from
his father Robert Zildjian instead.
David Young, Bill Zildjian's lawyer, said his client is pleased with
the Court of Appeal's ruling.
He confirmed that his client has been paid for the dividends plus
interest.
However, the dividends issue is just the first battle in what promises
to be an extended legal war.
"This is just a small part of it," Young said of the dividends issue.
In the notice of action for the lawsuit, Bill Zildjian alleges his
father has misused company funds for his personal expenses and that
his father has ignored established business regulations and protocols
so as to maintain complete control of the company he founded.
The plaintiff also alleges his brother
Zildjian undermines his position and influence on the business.
Bill Zildjian also claims that he's stuck in this scenario because he
can't sell his shares in the company without his father's approval.
Essentially, Bill Zildjian is seeking a corporate divorce from Sabian
and his family.
Statements of defence filed by Sabian deny Bill Zildjian's
allegations, noting that company bylaws have been followed and
business has been properly conducted.
Peter Crocco, the Woodstock lawyer representing Sabian, is away on
vacation and couldn't be reached for comment.
Sabian clients include a who's who of drummers from the world of pop
and rock music.
http://dailygleaner.canadaeast.com/rss/ar ticle/724762
From: Emil Lazarian | Ararat NewsPress
DailyGleaner.com (New Brunswick, Canada)
Friday, July 10, 2009
By DON MACPHERSON, [email protected]
The New Brunswick Court of Appeal has upheld a lower court ruling that
awarded about $750,000 to a disgruntled member of a world-famous
cymbal-making family.
Wilson (Bill) Zildjian filed a lawsuit against Meductic-based company
Sabian Ltd., Sabian Inc., and his parents and his siblings last year.
As part of that lawsuit, Bill Zildjian claimed he was owed dividends
as a shareholder of Sabian Ltd., which was founded by Robert Zildjian,
Bill's father, in 1981.
In a December ruling, Court of Queen's Bench Justice Paulette Garnett
ruled in Bill Zildjian's favour on a summary-judgment motion about the
dividends.
That ruling awarded Bill Zildjian about $750,000, factoring in the
determined value of the dividends plus interest.
The Zildjian family and the company appealed the ruling, and in a
decision issued last week, a Court of Appeal tribunal also sided with
Bill Zildjian.
The province's highest court dismissed the appeal and awarded Bill
Zildjian additional costs of $5,000.
On the original motion, legal counsel for Sabian and the rest of the
Zildjian family argued that Bill Zildjian wasn't owed dividends for
his Class B shares in the company because he accepted cash gifts from
his father Robert Zildjian instead.
David Young, Bill Zildjian's lawyer, said his client is pleased with
the Court of Appeal's ruling.
He confirmed that his client has been paid for the dividends plus
interest.
However, the dividends issue is just the first battle in what promises
to be an extended legal war.
"This is just a small part of it," Young said of the dividends issue.
In the notice of action for the lawsuit, Bill Zildjian alleges his
father has misused company funds for his personal expenses and that
his father has ignored established business regulations and protocols
so as to maintain complete control of the company he founded.
The plaintiff also alleges his brother
Zildjian undermines his position and influence on the business.
Bill Zildjian also claims that he's stuck in this scenario because he
can't sell his shares in the company without his father's approval.
Essentially, Bill Zildjian is seeking a corporate divorce from Sabian
and his family.
Statements of defence filed by Sabian deny Bill Zildjian's
allegations, noting that company bylaws have been followed and
business has been properly conducted.
Peter Crocco, the Woodstock lawyer representing Sabian, is away on
vacation and couldn't be reached for comment.
Sabian clients include a who's who of drummers from the world of pop
and rock music.
http://dailygleaner.canadaeast.com/rss/ar ticle/724762
From: Emil Lazarian | Ararat NewsPress