Logourl black
From our private database of 14,100+ case briefs...

In re W. R. Grace & Co.

United States Securities and Exchange Commission
Exchange Act Release No. 39,157 (Sept. 30, 1997)


Facts

J. Peter Grace, Jr. was the chief executive officer of W. R. Grace & Company (WRG) (defendant) until 1992, when Grace, Jr. retired. After his retirement, Grace, Jr. essentially retained the majority of his employment benefits, including the use of company property. Only non-management directors were involved in the negotiation of Grace, Jr.’s retirement benefits, and specific information regarding Grace, Jr.’s benefits was not available to management. Grace, Jr. incorrectly responded to questionnaires used by WRG in preparing its 1992 and 1993 Form 10-K and proxy statements by stating that he had not received benefits during those years. In February 1993, WRG moved to sell Grace Hotel Services Corporation (GHSC) to Grace, Jr.’s son, J. Peter Grace III. WRG was charged with violating the Securities Exchange Act of 1934, 15 U.S.C. § 78a, for failing to disclose: (1) the substantial benefits given to Grace, Jr. and (2) the sale of GHSC. The Securities and Exchange Commission (SEC) then issued a cease-and-desist order against WRG to not commit future violations. Following these events, Grace, Jr. passed away.

Rule of Law

The rule of law is the black letter law upon which the court rested its decision.

To access this section, please start your free trial or log in.

Issue

The issue section includes the dispositive legal issue in the case phrased as a question.

To access this section, please start your free trial or log in.

Holding and Reasoning

The holding and reasoning section includes:

  • 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.).

To access this section, please start your free trial or log in.

Dissent (Wallman)

The dissent section is for members only and includes a summary of the dissenting judge or justice’s opinion.

To access this section, please start your free trial or log in.

What to do next…

  1. 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.

  2. 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 219,000 law students have relied on our case briefs:

  • Written by law professors and practitioners, not other law students. 14,100 briefs, keyed to 189 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.