Chad Taylor v. Sardar Biglari

POSNER, Circuit Judge.

This is a shareholder derivative suit against the directors of an Indiana compa ny, Biglari Holdings, Inc., that owns two restaurant chains, Western Sizzlin’ and Steak ’n Shake, both of which operate some restaurants, and franchise others, in many U.S. states. Sardar Biglari is the CEO of Biglari Holdings and also the chairman of the company’s board of directors. There are five other directors. Biglari Holdings used to own an investment company named Biglari Capital Corporation, which is the controlling partner in a pair of private investment entities called The Lion…