ADVERTISEMENT



Google       

Home -> Law Blog Directory -> Litigation Blogs -> Delaware Business Litigation Report

OR PHONE (866) 635-1838 for Bankruptcy Help, (866) 635-6190 for Divorce,
(866) 635-2689 for Personal Injury or (866) 635-9402 for Criminal Defense

Find a Local Lawyer

Bankruptcy (866) 635-1838
Divorce (866) 635-6190
Personal Injury (866) 635-2689
Criminal Defense (866) 635-9402

Bookmark

Litigation

: Delaware Business Litigation Report

Court Of Chancery Discusses Director Removal Statute

By Edward M. McNally

ADVERTISEMENTS

Shocking Technologies Inc. v. Michael, C.A. 7164-VCN (April 10, 2012)

A year or so ago, the DGCL was amended to permit the removal of a director by the Court of Chancery.  While the grounds to do are broadly stated (including "breach of the duty of loyalty"), the statute requires that the director first have been convicted of a felony or been found in a prior case to have breached his duty of loyalty.  There thus remains the question of whether director removal may be done without a prior action that establishes the grounds to do so.

This decision suggests that such a direct action for removal will be very hard to win, for the Court expressed serious concerns over whether it has that authority absent the statutory prerequisites. The question is still open to be squarely decided in another case.

Full post as published by Delaware Business Litigation Report on April 10, 2012 (boomark / email).

Bloggers, promote your law blog by nominating your blog for inclusion in USLaw.com's Law Blog Directory and RSS Reader. Benefits described.
Related Law Blog Posts
Search Blog Directory:

Search Blog Directory:

Related Law Articles

Lawsuits and Settlements

Related Searches

























































































































US Law
#1 Online Legal Resource













Your Blog Subscriptions
Subscribe to blogs

10,000+ Law Job Listings
Lawyer . Police . Paralegal . Etc
Earn a law-related degree
Are you the author of this blog? Adding USLaw.com to your Blogroll increases relevance. You qualify to display a USLaw Network badge.
Suggest changes to this blog's description or nominate another for inclusion. Register for updates.


Practice Area
Zip Code:

Contact a Lawyer Now!






1.082 secs (new cache)