Prehn and Bandak v. Michael L. Hodge, II

I. NATURE OF THE CASE

The Source Store LLC (“Source 1”), The Source LLC (“Source 2”), Michael L. Hodge (“Hodge”), George M. Brown (“Brown”), and Christopher Claiborne (“Claiborne”) (collectively “Appellants”) appeal the district court’s order denying their Joint Motion to Dismiss, by which they sought to dismiss the derivative claims brought by Donnelly Prehn (“Prehn”) and Dwight Bandak (“Bandak”) (collectively “Respondents”) on behalf of Source 1. Additionally, Appellants appeal the district court’s finding that Hodge breached his fiduciary duty to Source 1 and its members.

II. FACTUAL AND…