After a disgruntled client posted a review on Yelp page of his former attorney, and the attorney responded, the attorney sued the client for defamation. The client responded by filing counterclaims for defamation, breach of fiduciary duty, and legal malpractice. The district court dismissed the client’s counterclaims for breach of fiduciary duty and malpractice while denying the attorney’s motion to dismiss the defamation counterclaim. The court then denied cross-motions for summary judgment, finding that genuine…

The ARDC Hearing Board recommended a two-year suspension for attorney Joel Brodsky due in large part to a case where his own attorney Joe “the Shark” Lopez admitted that Brodsky engaged in “Rambo” tactics. The Hearing Board found based on clear and convincing evidence that Brodsky harrassed opposing counsel and the Plaintiff’s expert witness with baseless claims.  It held: We find the Administrator proved a violation of Rule 3.1 by clear and convincing evidence. Moreover,…

After a dispute occurred between Chairman and members of the board of directors of closely held corporation, Chairman removed several members from the board and sued them for civil conspiracy, tortious interference, libel, and breach of fiduciary duty. The Delaware Court of Chancery granted the defendants’ motion to dismiss, finding that the plaintiffs failed to allege facts sufficient to prove civil conspiracy, breach of fiduciary duty, or tortious interference. The court also determined that the…

After CEO and Chairman of closely held company was removed by board of directors, he sued, requesting specific performance of the removal of the other members of the board. The Chancery Court dismissed several claims in the complaint for want of personal jurisdiction, and also denied the CEO’s motion for summary judgment, finding that each side of the litigation alleged disputed facts and complex legal theories not appropriate for resolution on summary judgment. In 2016,…

Over the coming weeks and months, employees will begin returning to work in increasing numbers across the state. As they do, employers will find themselves facing unique challenges created by the risk of workplace exposure to COVID-19. Potential transmission of COVID-19 by employees can create liability concerns for employers. The primary concern for employers is whether they will be entitled to the tort immunity typically provided by workers’ compensation laws in light of the unique…

Directors of a corporation owe fiduciary duties to the shareholders of the company. This means that when directors communicate with shareholders about the company, they have a fiduciary duty to exercise due care, good faith and loyalty. Directors can be held personally liable if they intentionally or recklessly mislead shareholders about the business or condition of the corporation. A Delaware Chancery Court recently dismissed a suit filed against the directors of GoPro, Inc. by a…

Minority shareholders in closely held businesses generally lack the ability to control the actions of a company which makes them vulnerable to oppression from the controlling shareholder or shareholders. Minority shareholder oppression claims frequently include allegations that the controlling shareholders have funneled company money or resources to themselves and attempted to hide the misconduct by excluding minority shareholders from accessing books and records. Minority shareholders in Illinois are not without recourse, however, as they have…