Corporate Dispute Litigation
It is Important to Look at the Whole Document In Corporate Dispute Litigation.
In a recent case involving an LLC with an operating agreement, two of the members voted to expel the third member. While this was permitted under the terms of the agreement, the next paragraph provided that the expulsion resulted in dissolution of the LLC. The case involved a dispute between the LLC and the individual about the ability of a current member to be employed by a competing business. The LLC had pending motions for injunctive relief to prevent the member from working for a competing business. Once the member was expelled, triggering the dissolution, the Court dismissed all of the pending motions for injunctive relief against the expelled member based upon our motion to dismiss. The Court further dismissed the entirety of the Company’s petition, finding that there was no party to continue the action. The Company is seeking post-judgment review of the Order, and Designation for Appeal.
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