Stockholder sues Calder Pharmaceuticals, board of directors over distribution of dividends

A Chicago man is suing over claims the board of directors of a company he owns stock in has refused to distribute dividends.

Joel Bellows filed a lawsuit July 15 in the Cook County Circuit Court against Calder Pharmaceuticals Inc., Gary G. Altman, Clive P. Kabatznik, Mark Korb, Vincent M. Palmieri, Edward R. Roffman, Timothy C. Tyson and Benjamin P. Warner, in their capacity as members of the company's board of directors.

According to the complaint, Bellows invested $210,000 in Calder in exchange for 105,000 shares of stock. He alleges a lawsuit arose in 2011 regarding executives inducing him to invest and that a settlement was reached.

Bellow claims he had to bring motions to enforce the settlement twice in 2013. His first annual dividend payment was due Jan. 1, but the suit alleges the defendants have failed to pay it. The defendants are accused of breach of contract and breach of fiduciary duty.

Bellows is seeking more than $50,000 in punitive damages and $48,300 in compensatory damages. He is being represented by Mona Lawton of The Bellows Law Group P.C. in Chicago.

Cook County Circuit Court Case No. 2014L007429.

This is a report on a civil lawsuit filed in the Cook County Circuit Court. The details in this report come from an original complaint filed by a plaintiff. Please note, a complaint represents an accusation by a private individual, not the government. It is not an indication of guilt, and it only represents one side of the story.