Shareholder Derivative Suits

We represent corporate shareholders in derivative suits. We assist shareholders in bringing claims on behalf of the company against company officers, directors or professionals whom the company will not voluntarily sue because those wrongdoers control the company

Representative Cases:

  1. Dreiling v. Kellett and Jain (Washington - Federal Court). We represented a shareholder in obtaining a $5.5 million settlement from one set of defendants whom we alleged violated § 16(b) of the 1934 Securities & Exchange Act by engaging in short swing (insider) trading. We believe that this is the third largest recovery in § 16(b) history. We represent the same shareholder alleging that the second set of defendant/corporate insiders violated § 16(b) by engaging in short swing (insider) trading. The Federal court has ruled that these insiders are liable; we are awaiting entry of judgment. We expect the judgment to be the largest in § 16(b) history.
  2. Dreiling v. Jain, Halsted, Alben, et al. (Washington - State Court). We represent a shareholder alleging common law claims against numerous corporate officers and directors for insider trading and other injuries to the company. The case is pending.
  3. Boggs, et al. v. Transpacific Seafoods, Inc., et al. (Washington - King County). Represented company and majority stockholders in direct and derivative action brought by minority stockholders, alleging waste and wrongful freeze out. The case settled.