Scheef & Stone, LLP congratulates litigation partner Brent Kugler for obtaining a unanimous jury verdict on behalf of his client, a manufacturer of HDTV modulators and electronics products for IPTV networks and digital RF systems, in a shareholder derivative suit seeking $3.7 million in the 16th District Court in Denton County, Texas.
District Court Judge Sherry Shipman entered a directed verdict on the plaintiff’s individual claims and on June 30 the jury issued a unanimous verdict finding the defendants not liable on the plaintiffs’ shareholder derivative claims after a five-day trial. The unanimous jury verdict found the defendants not liable and awarded zero monetary damages to the plaintiff.
“I am extremely pleased for the positive outcome for our client after a four-year legal battle. The jury’s unanimous verdict is supported by overwhelming evidence that the defendants did not breach their fiduciary duties or engage in any sort of fraudulent activity,” said Kugler, who served as counsel for the corporate defendant.
The lawsuit was brought by a minority shareholder against Kugler’s client, as well as the company’s CEO, and involved allegations of breach of fiduciary duty and other derivative claims. Kugler and Joe Ackles, counsel for the CEO, collaborated on the litigation strategy to defend their clients, ultimately securing a defense verdict. Kugler was assisted by Scheef & Stone associates Priya Jesani and David Wills.