Federal Deposit Insurance Corp. v. Loudermilk

295 Ga. 579

FINAL COPY S14Q0454. FEDERAL DEPOSIT INSURANCE CORPORATION v. LOUDERMILK et al. BLACKWELL, Justice. As the receiver of the Buckhead Community Bank, the Federal Deposit Insurance Corporation sued nine former officers and directors of the bank,1 alleging that they were negligent with respect to the making of loans, which led the bank, the FDIC says, to sustain nearly $22 million in losses. The defendants moved to dismiss the lawsuit, arguing that the business judgment rule relieves officers and directors of any liability for ordinary negligence. The FDIC responded that such a…