Your name saw this post on The ActiveRain Real Estate Network and thought it might be of interest to you. Please see the link below to review the post.

William Penn Partnership - There are No Winners
The Delaware Supreme Court recently decided William Penn Partnership v. Saliba, a case in which there are no winners. In the case, one of the members breached his fiduciary obligations, but his conduct caused no damage. Nonetheless, the court awarded attorneys’ fees as an “equitable remedy.” In this author’s view, the award distorts the law of equitable remedies, creates uncertainty in the law, and rewards fruitless litigation.
The facts were as follows. The parties were members of a limited liability company called Del Bay Associates, LLC. Del Bay built the Beacon Motel in Lewes, Delaware in 1987, with 66 guest units. Later, some of the members (the Lingos) wanted to “end their business relationship” with the other members.
The Lingos concocted a story about their need to dissolve the limited liability company and sell the motel to fulfill obligations under a section 1031 tax-deferred exchange. Explained the court, “On June 10, 2003, the Lingos convinced Hoyt to sign the contract immediately so they could present it to the JGT board. The Lingos told Hoyt that if he did not sign the contract, JGT might back off.”
The court found that the representations were not true. Instead, the Lingos controlled both sides ... more

__________________________________________________
Are you on The Rain? Grow Your Network!