Irving Trust Co. v. Beugler

How courts have described this case

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

• indicating that evidence of “bad faith,” in addition to evidence of fraud, is sufficient to satisfy the business judgment rule in a shareholder derivative action
• recognizing that, while courts do not possess the expertise required to second guess a business judgment, they are well equipped to determine the “methodologies and procedures best suited to the conduct of an investigation of facts and the determination of legal liability”
• stating that courts should examine the SLC’s “disinterested independence” and “the adequacy and appropriateness of the committee’s investigative procedures and methodologies”
• concluding that derivative claims against the governing body of a corporation, i.e., its board of directors, belong to the corporation itself, and that the decision regarding the extent to which to pursue those claims lies within the control of the board of directors
• limiting the court's inquiry to \the adequacy and appropriateness of the committee's investigative procedures and methodologies\
• noting similarity between litigation decisions and other “questions of corporate policy and management”

Source: CourtListener parenthetical corpus (CC0).