Summary: Derivative suits let owners enforce the company’s rights when insiders won’t. Done right, they’re powerful. Done wrong, they’re dismissed. Here’s a field guide for LLCs and closely held corporations. Who can sue and when? LLCs: Members may sue derivatively under 805 ILCS 180/40‑1 when managers/members harm the company. Relief…
Summary: When a co‑member changes the banking logins, blocks your access to the general ledger, or tells employees not to speak with you, it’s not just bad behavior—it’s a legal emergency. Here’s what to do right now. 1) Treat it like a TRO/Preliminary‑Injunction case.Illinois courts can order interim relief that…
After We Cross-Examined ChatGPT on its obvious shortcomings, this was what it wrote to warn the country about itself. Now it could be said that the prompts not ChatGPT caused these answers which apparenty might or might not be accurate but the reasons for stating it caused these responses is…
Based on our research and experience, the best defenses to a class action generally revolve around the requirements of typicality and adequacy of the class representative (Danis v. USN Communications, Inc., 189 F.R.D. 391 (1999)). The presence of even an arguable defense peculiar to the named plaintiff or a small…
When facing a class action lawsuit, the stakes are incredibly high. The complexity of these cases requires a legal team with specialized expertise and a track record of success. DiTommaso Lubin stands out as a premier choice for several compelling reasons: Extensive Experience in Class Action Defense DiTommaso Lubin’s legal…
Under Illinois law, defenses for a partner accused of breaching fiduciary duties to the partnership and his other partners can be varied and nuanced (LID Associates v. Dolan, 324 Ill.App.3d 1047 (2001)), (Pielet v. Hiffman, 407 Ill.App.3d 788 (2011)). Here are some potential defenses: 1. Compliance with Partnership Agreement: A partner who…
In Illinois, there are several defenses that can be utilized in response to a libel suit. One such defense is the doctrine of “innocent construction”, where a potentially defamatory statement is innocently construed, and therefore not actionable. Expressions of opinion are another type of defense, as they are not considered…
Yes, taking excessive compensation can indeed violate a managing member or majority shareholder’s fiduciary duties. Case law supports this assertion. In Fleming v. Louvers International, Inc., the court found that a majority shareholder violated his fiduciary duties by taking excessive compensation, depriving a minority shareholder of his rightful distributions. This…
Choosing DiTommaso Lubin for business litigation comes with several advantages, particularly due to their experience and client-focused approach. Here are some key reasons why they are a compelling choice: Experience Across Business Litigation Domains: DiTommaso Lubin handles a wide range of business litigation matters, including disputes related to shareholders, LLC…
In the world of franchising, the termination of a franchise agreement can be a complex and contentious issue. Franchisees facing termination must understand their rights and the defenses available to them. Equally important is choosing the right legal representation to navigate these challenging waters. Defenses to Franchise Termination Breach of…