Fed. Sec. L. Rep. P 97,247 Andrew L. Smith, Individually and Derivatively on Behalf of Smith Protective Services, Inc. v. R. Jack Ayres, R. Jack Ayres

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• finding that a party-plaintiff who held 1/10,000,000 of company’s authorized shares was not a fair and adequate representative of shareholder interests
• stating a \plaintiff in a shareholder derivative action owes the corporation his undivided loyalty\ and \must not have ulterior motives and must not be pursuing an external personal agenda\
• “We need not resolve and reserve for another day whether under other circumstances, some Rule 10b-5 claims may be expressly assigned.”
• \Only in the rarest instances may there be a shareholder derivative action with a class of one.\
• plaintiff with 1/10,000,000 of an interest in the corporation received no cooperation from the remaining shareholders, who “vigorously deny the essential allegations that form the basis for [the] suit[.]”
• “A plaintiff in a shareholder derivative action owes the corporation his undivided loyalty. The plaintiff must not have ulterior motives and must not be pursuing an external personal agenda”

Source: CourtListener parenthetical corpus (CC0).