Articles Posted in Business Judgment Rule

  The business judgment rule insulates decisions made in good faith and in the best interests of the enterprise from being subject to judicial second guessing ordinary business decisions Majority shareholders that failed to pay dividends to a non-employee minority shareholders in valid exercise of business judgment rule did not…

Holding a family business together gets more difficult as time passes, as this recent opinion from the Appellate Division demonstrates.  A rift between the family members still working for, and in control of H. Schultz & Sons, resulted in the minority members who stopped receiving dividends while the company was…