Medical Device Alliance, Inc. v. Ahr

OPINION

Respondents (“Nevada shareholders”) filed suit in district court seeking the appointment of a receiver for appellant Medical Device Alliance, Inc. (“MDA”). After finding strong evidence of serious corporate mismanagement and fraud, the district court appointed a temporary receiver for MDA. Subsequently, appellant Donald K. McGhan (“McGhan”) successfully intervened and filed a motion to terminate the receivership, which the district court denied. MDA and McGhan both appealed, and their appeals have been consolidated.

For the reasons discussed herein, we conclude that the Nevada…