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Riblet Products Corp. v. Nagy
Delaware Supreme Court
683 A.2d 37 (1996)
- Written by Jenny Perry, JD
Facts
Ernest Nagy (plaintiff) was the chief executive officer of and a minority shareholder in Riblet Products Corporation (Riblet) (defendant), a closely held corporation. Riblet employed Nagy pursuant to a written employment agreement. Riblet terminated Nagy’s employment, and Nagy filed suit. The jury found that Riblet breached the employment agreement and that Nagy’s termination constituted a breach of fiduciary duties owed by Riblet’s majority shareholders to Nagy as a minority shareholder. The United States Court of Appeals for the Seventh Circuit affirmed the verdict as to the breach-of-contract claim and certified a question to the Delaware Supreme Court regarding the breach-of-fiduciary-duty claim.
Rule of Law
Issue
Holding and Reasoning (Veasey, C.J.)
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