Solomon v. Atlantis Development, Inc.

This is a derivative action brought by plaintiffs, Solomon and Meledones, on their own behalf as shareholders of Atlantis Development, Inc. (Atlantis). Plaintiffs’ complaint alleged, in pertinent part, that defendants, Malloy and Mordecai, acted in concert to force the sale of the corporation’s assets to defendant Malloy in breach of their fiduciary relationship to the plaintiffs and to the corporation. Plaintiffs prayed for rescissory damages and an accounting for lost profits. Defendant Malloy filed a counterclaim against plaintiff Solomon alleging defamation of character.

The case was tried…