Justia Business Law Opinion Summaries

After Thomas, a member of the Board of Directors of Applied Medical Corporation, was removed from the Board in January 2012, Applied exercised its right to repurchase shares of its stock issued to Thomas as part of stock incentive plans. Thomas objected to the repurchase price, and in August 2012 Applied filed suit. In June, 2015, the trial court granted summary judgment against Applied. The court of appeal affirmed as to Applied’s fraud-based claims, but reversed as to Applied’s claims based on breach of contract and conversion. A conversion claim may be based on either ownership or the right to possession at the time of conversion. Applied’s fraud claims were barred by the applicable statute of limitations; the court rejected Applied’s argument that those claims, first alleged in 2014, were timely under either the discovery rule or the relation back doctrine. View "Applied Medical Corp. v. Thomas" on Justia Law

In 2007 a fire spread from defendant Lambirth Trucking Company’s storage site to plaintiff Vincent Scholes’ property. Scholes’ sued alleging negligent trespass, intentional trespass, and strict liability against Lambirth. Lambirth demurred to the third amended complaint, arguing it was barred by the statute of limitations and failed to state a viable claim for intentional trespass or strict liability. The trial court sustained the demurrer without leave to amend. Proceeding in pro per, Scholes appealed, arguing the trial court erred in finding his claims barred by the statute of limitations and by failing to grant Scholes leave to amend. Finding no reversible error, the Court of Appeal affirmed the judgment. View "Scholes v. Lambirth Trucking Co." on Justia Law

Plaintiff, the president and CEO of American Apparel, filed suit against Standard General, alleging several causes of action stemming from his claim that Standard General's press release, regarding investigations into allegations against plaintiff, contained false and defamatory information about him. The trial court granted Standard General's anti-SLAPP motion, Code Civ. Proc., 425.16. The court held that plaintiff failed to satisfy his burden of showing there was a minimal chance his claims would succeed at trial. In this case, the court rejected plaintiff's claim that the press release falsely stated he was investigated by an independent third party because such a claim did not allege a falsehood about plaintiff himself. Furthermore, because the press release did not articulate why plaintiff was terminated, plaintiff's allegation that it falsely stated he was terminated for "cause" did not constitute an actionable defamation. Therefore, the court affirmed the trial court's order. View "Charney v. Standard General, LP" on Justia Law