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Shocking Technologies, Inc. v. Kosowsky

2012 WL 4482838 (2012)

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Shocking Technologies, Inc. v. Kosowsky

Delaware Court of Chancery

2012 WL 4482838 (2012)

Facts

Shocking Technologies, Inc. (STI) was in financial trouble, but had one last chance at a potential investor in Dickinson. Without Dickinson’s investment, the company would be in dire financial straits. Despite this, Simon Michael, an STI director, thought it would be better for him as a director and for STI as a whole in the long run if Dickinson did not invest as planned. Michael gave Dickinson confidential company information in the hopes that it would persuade Dickinson not to invest. Michael was sued in the Delaware Court of Chancery for breach of his fiduciary duty of loyalty.

Rule of Law

Issue

Holding and Reasoning (Noble, J.)

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