July was a slow month for new Business Court cases. By my count, there were only eight. One involves a hurricane (Bodie Island), another involves children’s cartoon characters (Middleton), a third involves telephone poles (Town of Murphy), and the others raise the usual allegations of corporate malfeasance and misconduct.
Bodie Island Beach Club Association, Inc. v. Wray (Dare)(Jolly): Derivative action by condominium homeowners association asserting claims for legal malpractice and breach of fiduciary duty. The claims stem from the process by which the use of the facility as a timeshare condominium was terminated following damage caused Hurricane Isabel in September 2003.
Cabrera v. Ridges at Morgan Creek, LLC: (McDowell)(Diaz):claims for false and misleading sales practices in sale of lots in a real estate development, including allegations that the defendants, which include Wachovia, Bank of America, and BB&T, were part of a joint venture or common enterprise.
Fratelli of North Carolina v. Scarfone (Guilford)(Tennille): claims for breach of fiduciary duty and self-dealing by member of LLC.
Marlabs, Inc. v. Consert, Inc. (Wake)(Jolly): claims for injunctive relief regarding agreement for development of computer software and data hosting.
McCarter Electrical Company v. Jones (Scotland)(Diaz):claims of breach of fiduciary duty and embezzlement by corporate officers and employees, theft of trade secrets, and violation of covenant not to compete.
Middleton v. Smith (Cabarrus)(Tennille): derivative action to enjoin sale of corporate assets and for appointment of a receiver. The corporate entity owns the rights to a cartoon series called "Danger Rangers" which teaches safety to children.
Town of Murphy v. Verizon South, Inc. (Cherokee)(Tennille): issues of Verizon’s obligations to Plaintiff under an agreement for the joint use of utility poles. Business Court jurisdiction is premised on, among other things, the Court’s jurisdiction over the internet and electronic commerce.
Zairy v. VKO, Inc. (Guilford)(Tennille): claims of breach of fiduciary duty and piercing the corporate veil against corporate officers, asserting that they are personally responsible for debt of insolvent corporation.