Bangor Punta Operations, Inc. v. Bangor & Aroostook R.R.
United States Supreme Court
417 U.S. 703 (1974)
In 1964, Bangor Punta Operations, Inc. (Bangor Punta) (defendant) acquired 98.3 percent of the stock of Bangor & Aroostook Railroad (BAR) (plaintiff). In 1969, Bangor Punta sold its interest in BAR to Amoskeag Co. (Amoskeag). Amoskeag later purchased additional stock in BAR, giving Amoskeag between 99 and 100 percent of BAR stock. In 1971, BAR—at that point controlled by Amoskeag—brought a shareholder suit against Bangor Punta in the United States District Court for the District of Maine under § 10 of the Clayton Act and § 10(b) of the Securities and Exchange Commission Act of 1934, alleging severe mismanagement of BAR between 1960 and 1967. The district court granted Bangor Punta’s motion for summary judgment, finding that because the alleged harm occurred prior to Amoskeag’s purchase of the BAR stock, any recovery for Amoskeag under the BAR moniker would be a windfall. BAR appealed, and the United States Court of Appeals for the First Circuit reversed. The United States Supreme Court granted certiorari.
Rule of Law
Holding and Reasoning (Powell, J.)
Dissent (Marshall, J.)
What to do next…
Unlock this case brief with a free (no-commitment) trial membership of Quimbee.
You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 97,000 law students since 2011. Some law schools—such as Yale, Vanderbilt, Berkeley, and the University of Illinois—even subscribe directly to Quimbee for all their law students. Read our student testimonials.
Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.
Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students. Read more about Quimbee.
Here's why 176,000 law students have relied on our case briefs:
- Written by law professors and practitioners, not other law students. 14,000 briefs, keyed to 188 casebooks. Top-notch customer support.
- The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
- Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
- Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.