California Court of Appeal

In an action against defendant-former employer alleging 10 causes of action including breach of contract, breach of fiduciary duty, conversion, and fraud in connection with alleged transfer of plaintiff's shares to the State without notice to him or consent, dismissal of action in favor of defendant is reversed and remanded where: 1) Title 10's immunity provisions do not shield a corporation that transfers property to the State in violation of Title 10; 2) defendant failed to meets its burden of demonstrating the nonexistence of any triable issue of material fact; 3) a reasonable jury could have concluded that plaintiff's failure to suspect misfeasance was reasonable in light of the history of his relationship with defendant and the informal manner in which defendant had dealt with his stock ownership; and 4) defendant did not establish its entitlement to summary judgment on statute of limitations grounds.

Appellate Information

• Decided 11/25/2008
• Published 11/25/2008

Judges

• MIHARA, Acting P.J.

Court

• California Court of Appeal

Counsel

• For Appellant:
  
• William W. Palmer, Law Office of William W. Palmer, Sacramento, for Appellant.


• For Appellees:
  
• Sheldon H. Jaffe, Carol Lynn Thompson, Heller Ehrman LLP, San Francisco, for Respondent.