CML V, LLC v. Bax

STEELE, Chief Justice:

CML V, LLC (CML), a junior secured creditor of JetDireet Aviation Holdings, LLC, sued JetDirect’s present and former officers directly and derivatively for breaching their fiduciary duties. The Vice Chancellor dismissed all four of CML’s claims. Because CML, as a JetDireet creditor, lacked standing to sue derivatively on JetDirect’s behalf, we affirm.

I. FACTS AND PROCEDURAL HISTORY

JetDireet Aviation Holdings LLC, a Delaware limited liability company, was a private jet management and charter company. As part of a roll up strategy, starting in 2005, JetDireet acquired a…