FEDERAL COURTS-FORUM NON CONVENIENS-DERIVATIVE SUITS

Plaintiff, a resident of New York, and a policyholder in defendant Illinois corporation, brought a suit in the United States District Court in New York to force one of defendant's directors and another corporation to account to defendant for alleged waste of its corporate assets. Defendant moved for dismissal on the grounds that the suit would involve interference with the internal affairs of a foreign corporation, and that. the suit in New York would work great hardship, since the defendant would be required to transport many records and witnesses from Illinois to New York at great expense. The suit was dismissed by the district court on the ground of forum non conveniens. The Second Circuit Court of Appeals affirmed.

On certiorari to the United States Supreme Court, held, affirmed, four justices dissenting. Koster v. American Lumbermens Mutual Casualty Company, (U.S. 1947) 67 S. Ct. 828.