Jerry Levitt, a former attorney for Time Warner, owned 500,000 shares of Time Warner stock. Levitt’s stock ownership consisted of approximately 5% of the company’s total stocks. After a merger between Time Warner and a famous Internet provider, Levitt left the company and started working as Chief Legal Counsel for the Walt Disney Company, a competitor of Time Warner. When Time Warner offered to purchase Levitt’s stocks, he requested access to Time Warner’s corporate books to determine the value of the stock. Time Warner refused the request on the basis that Levitt worked for a competitor.
What are the rights of each party? How would you resolve the case? Support your answer with appropriate laws, cases and/or examples.