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Garner v. Wolfinbarger

United States Court of Appeals for the Fifth Circuit
430 F.2d 1093 (1970)

Written by Sean Carroll, JD

Facts

Shareholders (plaintiffs) of the First American Life Insurance Company of Alabama (FAL) sued FAL (defendant) seeking to recover the price they paid for their stock. The shareholders claimed that FAL violated securities laws with the way it issued the stock. During the litigation, the shareholders requested disclosure of various communications between FAL and its attorney. The shareholders claimed that the attorney-client privilege did not apply to corporate communications in the context of a shareholder suit. The district court agreed. FAL appealed.

Rule of Law

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Issue

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Holding and Reasoning (Godbold, J.)

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A "yes" or "no" answer to the question framed in the issue section;
A summary of the majority or plurality opinion, using the CREAC method; and
The procedural disposition (e.g., reversed and remanded, affirmed, etc.).

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