This blog previously has addressed the statute of limitations, a concept that has special significance for breach of fiduciary duty claims. Whether a fiduciary-duty claim is timely is highly fact-dependent and not always clear-cut. For that reason, plaintiffs’ lawyers often get creative in trying to salvage an otherwise viable fiduciary-duty claim that is on the brink…
All posts tagged Shareholder Derivative
Newman v. Newman: Fiduciary Duties in Small, Closely-Held Family Corporations
This blog previously has discussed fiduciary duty claims in the shareholder-derivative context. Courts in derivative suits frequently address fiduciary duty questions, especially where the dispute involves a small, closely-held family corporation. Yet another recent decision of the Appellate Division, First Department, deals with fiduciary duties in a derivative action: Newman v. Newman, 202 A.D.3d 442…
Sajust, LLC v. Mendelow: Fiduciary Duties in Shareholder and LLC Derivative Suits
Breach of fiduciary duty questions often arise in shareholder derivative actions. These lawsuits involve a shareholder of a corporation who files suit derivatively—that is, on the corporation’s behalf rather than in her own individual capacity—to recover for some alleged wrong done to the corporation itself. In such cases, the directors of the corporation often have…