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Court Rejects Oppressed Shareholder’s Bid for Dissolution or Buy-Out, Finds Money Damages Sufficient

A minority shareholder petitioning for dissolution under BCL § 1104-a must establish, by a preponderance of the evidence, that the majority shareholders have engaged in “illegal, fraudulent or oppressive actions,” (BCL §...more

Unconscionability Defense Fails to Raise Issue of Fact - Legal Woes for the Whistleblower who Turned Down his Award

In 2015, our colleagues in the white-collar criminal defense bar braced for the impact of a memorandum penned by then Deputy Attorney General Sally Yates.  The Yates Memo encouraged both federal prosecutors and civil...more

Departing LLC Members: Exercise Your Put Option Before Insolvency Approaches

Several weeks ago, I had the pleasure of first appearing on this blog, with a piece about a Delaware Chancery Court decision considering—as a matter of apparent first impression—whether an LLC could exercise, then walk back a...more

Commercial Division Finds Allegations of Complete Control Insufficient to Support a Veil-Piercing Theory

A familiar fact pattern: ParentCo is the owner and controlling shareholder of SubCo.  ParentCo completely controls SubCo.  The two companies have the same officers, issue consolidated financial returns, and the profits and...more

Consider Whether Your Buy-Sell Provision is a Call Option Before Pulling the Trigger

As regular readers of the blog surely are aware, there are few provisions in an LLC or shareholders agreement more likely to be the focus of dispute than the buy-sell provision. Most times, these disputes expose a flaw in the...more

First Department Affirms Ruling on Scope of “Insured vs. Insured” Exclusion to D&O Policy, Gives Cause to Consider a Creditor...

Disputes over the scope of insurance coverage are common fixtures in the Commercial Division Courts.  Earlier this month, the First Department partially affirmed Justice Sherwood’s decision in Westchester Fire Ins. Co. v....more

Walking a Fine Line: Asserting a Claim for Mistake in a Contract Without Waiving Privilege

It works the same way in small businesses as it does in major investment firms: the executives reach agreement on the terms of a deal, then leave the lawyers to paper things accordingly....more

First Department Protective of High-Frequency Trading Algorithm: Considerations in Handling Discovery Requests for Propriety Code,...

As we continue to see increased litigation over electronic programs, apps, and algorithms, courts are increasingly called to consider discovery requests for the coding behind that technology.  These requests highlight the...more

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