Reporting on Judicial Decisions of Significance to Business & Shareholders
A party making claims out of the dissolution of a law firm PLLC was not entitled to proceed on its unfair and deceptive practices. Judge Tennille held that the claims between the lawyers involved an "internal dispute," and that such disputes did not "affect commerce" as required by the statute.
There was also an issue…
The Court denied the entry of a preliminary injunction in a case involving the dissolution of a law firm. The injunction would have prevented the defendants from distributing to themselves the proceeds from contingent fees cases in which the plaintiffs claimed an interest.
The Court held that "[t]he Plaintiffs have not made a convincing showing that…
In what County should a lawsuit seeking the final distribution of the assets of a limited liability company which has already been dissolved be filed? The answer is in the county where the LLC’s principal office is or was located. The Court therefore transferred venue in this case from Mecklenburg County to Forsyth County, finding…
Defendant, who was a director, shareholder and former employee of the corporate plaintiff, moved to disqualify the corporate plaintiff’s counsel. He argued that he reasonably believed that the law firm had represented him with regard to the agreements at issue and a guaranty agreement. He also argued that disqualification was appropriate because the corporation’s lawyers…
The plaintiffs in this case sought the dissolution of a closely held corporation pursuant to N.C.G.S. §55-14-30(2)(ii) on the ground that the business of the corporation was being conducted to the unfair advantage of the majority shareholder. The Court found that dissolution was appropriate because the reasonable expectations of the majority shareholders were not being…
Plaintiffs had established their right to involuntary dissolution of the closely held corporation in which they were shareholders because their reasonable expectations had not been met, and the business of the corporation was being conducted to the unfair advantage of the minority.
The corporation was entitled to avoid dissolution by paying the oppressed shareholder the…