Lazenby v. Godwin

CLARK, Judge.

Defendant first assigns as error the trial court’s denial of defendant’s motion for directed verdict on the issue of constructive fraud. Defendant contends that a recovery for constructive fraud is predicated on a breach of a fiduciary duty, 6 Strong’s N.C. Index 3d, Fraud, § 7, and that under North Carolina law, a manager and director of a corporation does not stand in a fiduciary relationship to shareholders in regard to the acquisition of the shareholders’ stock. Therefore, defendant contends, he had no duty to disclose any information relating to the value of the stock or to…