Knutsen v. Frushour

McQUADE, Justice.

At all pertinent times, A. L. Knutsen, a respondent, and appellant E. B. Frushour were directors and stockholders of respondent Kidd Island Bay Development Corporation.; The present action is both a class or representative action and a shareholder’s derivative action brought by respondent Knutsen against appellant.

The district court found appellant had breached a fiduciary obligation by seizing a corporate opportunity of respondent corporation when he purchased in his own name (by trading for it land previously owned by the corporation) two parcels of land which respondent…