Business Court Declines to Enforce a Covenant Not to Compete
Department 7 of the Washoe County Business Court entered a December 5, 2016 Order denying a temporary restraining order and preliminary injunction enforcing a former employee’s covenant not to compete. Background The plaintiff was a trading firm engaged in trading, investment, and other business activities in United States, European, and Asian markets. The defendant was […]
Washoe County Business Court Denies Preliminary Injunction in Franchise Termination Case
In an April 11, 2016 Order, Department 9 of the Washoe County Business Court denied a preliminary injunction sought by a Nevada wine distributor against a California wine producer. The distributor then appealed this decision to the Nevada Supreme Court and sought a “stay,” i.e., the same preliminary injunction pending appeal. The Business Court entered […]
Temporary Restraining Order Protects a Proposed Stock Sale and Settlement Agreement from Corporate Interference
Department 9 of the Washoe County Business Court entered a May 24, 2016 temporary restraining order to protect a proposed settlement for which court approval was being sought. Val Holms, an approximately 47% shareholder of Bakken Resources, Inc. (“BRI”), was sued in a separate derivative action on behalf of BRI by Manuel Graiwer and other […]
Business Court Permits Nevada Corporation to Sue Insurance Broker for Failure to Place Proper Insurance Coverage
By Jerry Carter. In a recent Order in a Washoe County business court matter, the court permitted a Nevada corporation and its sole owner to sue for failure to place proper insurance coverage. The plaintiffs alleged they relied on the services of two insurance brokers to purchase proper workers compensation insurance. However, when the plaintiff owner […]
Nevada Business Court Refuses to Dismiss Shareholder Derivative Action
By Jerry Carter. The Washoe County Business Court recently entered an Order in which it refused to dismiss a shareholder derivative action. One of the defendants is an attorney who moved to dismiss the claims against him on the ground that his role as counsel to the defendant corporation and the attendant attorney-client privilege renders him unable to […]
When May The Highest Ranking Officer of a Corporation Be Required to Testify in a Deposition?
By Jerry Carter. From time to time, a party in Business Court litigation will seek to take the deposition of the other party’s highest ranking officer. The party seeking the deposition will insist that the highest ranking officer has relevant information. On the other hand, the highest ranking officer will suggest that he or she […]
Should Sitting Judges Be Empowered to Conduct Private Arbitrations?
By Jerry Carter. One of the missions of Nevada’s Business Courts is to provide aggressive case management and speedy resolution of business disputes. A recent decision out of Delaware discusses an important issue that must be considered in formulating innovative dispute resolution procedures–public access to the courts. The case is Delaware Coalition for Open Government […]
Washoe County Business Court Finds That Shareholder Derivative Complaint Against International Game Technology Is Insufficient
By Jerry Carter. In an August 23, 2012 Order, the Washoe County Business Court recently determined that a shareholder derivative lawsuit against officers and directors of International Game Technology (“IGT”) was insufficient. Nevertheless, the Court granted the shareholder derivative plaintiff leave to amend the complaint. The plaintiff’s complaint attempted to allege derivative claims on behalf […]
Washoe County Business Court Refuses to Dismiss Misrepresentation Claim
By Jerry Carter. The Washoe County Business Court entered an Order Dated July 18, 2012 allowing the purchaser of a business to go to trial on a misrepresentation claim against the sellers of the business. The purchase was structured as an asset purchase. After the sellers sued the purchaser for breach of the agreement, the […]