Scalia v. Reliance Trust Co.

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March 2, 2021

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ESOP valuations
control premium, discount rate, expert testimony, breach of fiduciary duty, capitalization rate, fair market value (FMV), overpayment, employee stock ownership plan (ESOP), adequate consideration
Scalia v. Reliance Trust Co.
2021 U.S. Dist. LEXIS 38705
US
Federal Court
Minnesota
United States District Court
Nelson

Summary

In an evolving ESOP case, court says DOL’s allegations that ESOP trustee and various directors engaged in breaches of fiduciary duties and caused the ESOP to enter a prohibited transaction (i.e., overpaid for company stock) require “fact-intensive inquiry” and cannot be resolved on summary judgment.
Scalia v. Reliance Trust Co (Kurt)
PDF, Size: 529 KB

See Also

Court Says DOL Claims in ESOP Case Require ‘Fact-Intensive Inquiry’ and Denies Motions for Summary Judgment

Court Case Digests
March 2, 2021

In an evolving ESOP case, court says DOL’s allegations that ESOP trustee and various directors engaged in breaches of fiduciary duties and caused the ESOP to enter a prohibited transaction (i.e., overpaid for company stock) require “fact-intensive inquiry” and cannot be resolved on summary judgment.

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BVR Guide to Management Projections and Business Valuation: Analysis and Case Law