Tag Archives: shareholder oppression

Lumber Exec’s Diversion of Profits to Company Owned by Son Supports Minority Shareholders’ Breach of Fiduciary Duty and Shareholder Oppression Claims – IL 2nd Dist.

Roberts v. Zimmerman, et al., 2021 IL App (2d) 191088-U provides a useful primer on the pleadings and evidence required to sustain a breach of fiduciary duty and shareholder oppression claim against a corporate officer and the contours of the business judgment rule defense to those claims. The case involved three separate but related lumber …

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Shareholder Oppression: A Frustrated Mess?

Yikes! That was a bad one.  But there’s your James Marshall Hendrix reference for the day. Shareholder oppression is another easy-to-say, hard-to-apply legal standard that can trigger the break-up of a closely held corporation.  Broadly, it applies where a dominant shareholder squeezes out or excludes a minority shareholder from having a say in the corporation’s …

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