Michigan Appeals Court Affirms Modified-Liquidation Value in a Shareholder Deadlock Litigation

BVLaw
Court Case Digests
May 12, 2022
3500 Industrial machinery and equipment
238290 Other Building Equipment Contractors
shareholder dissent/oppression
litigation, shareholder dispute, buyout, liquidation, stock, dissolution

Pitsch v. Pitsch Holding Co.
2022 Mich. App. LEXIS 2730; 2022 WL 1508774
US
State Court
Michigan
Court of Appeals
Bernard Klukowski; Daniel Yeomans
Gleicher, CJ, Ronayne Krause, Boonstra, JJ

Summary

In this shareholder deadlock litigation, the appellate court affirmed the decision of the trial court that the solution to the deadlock was to order a buyout of the plaintiffs’ stock by the defendants as opposed to a dissolution of the company. The appellate court also affirmed the use of a modified-liquidation value as providing a value that maximized the value to the individual shareholders.

See Also

Pitsch v. Pitsch Holding Co.

In this shareholder deadlock litigation, the appellate court affirmed the decision of the trial court that the solution to the deadlock was to order a buyout of the plaintiffs’ stock by the defendants as opposed to a dissolution of the company. The appellate court also affirmed the use of a modified-liquidation value as providing a value that maximized the value to the individual shareholders.