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Mike and Peter Schwadel were major shareholders in HJU & Investments, Inc. Over several years the assets of the corporation had been sold off until only one asset remained—a restaurant called “The Place for Steak.” The Schwadels sued the president and third major shareholder of the corporation, Hy Uchitel, when he entered into a contract to sell this remaining asset. Florida state prohibits the sale of all or substantially all of a corporation’s assets without shareholder approval. The Schwadels sought an injunction to prevent the sale of the restaurant.
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