limited affiliate privilege (Delaware) · Go Syfert
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limited affiliate privilege in Delaware

5 Delaware opinions name it 2 courts 2019–2023 3 in the last five years

The cases below were cited by Delaware courts in a sentence that names this issue. Sides come from how each citing opinion treated the case (Syfertize flag on that citation), so a case can appear on both: that is where the law is contested. A red or yellow chip is the case's own overall treatment.

Followed or applied (5)

CaseFollowedCited
Ramunno v. Cawleygreen
del · 1998 · cited in 1 Delaware opinions naming this issue, 2021–2021
1 sentence

2021Holdings LLC v. Renco Grp., Inc., 2013 WL 5863010 , at *13 (Del. Ch. Oct. 31, 2013) (“In those cases where Delaware courts found that an alleged tortfeasor acted in bad faith after it was found to qualify for the limited affiliate exception, plaintiffs pleaded facts alleging that the tortfeasor had shifted the debtor entity's assets such that the entity was insolvent and could not satisfy its obligations to the creditor plaintiff.” (citations omitted)). 119 NAMA Holdings, 2014 WL 6436647 , at *30 (emphasis added). -24- The bare assumption that Investco, as controller of Virgin Fest, LLC, must

11
Malpiede v. Townsongreen
del · 2001 · cited in 1 Delaware opinions naming this issue, 2021–2021
1 sentence

2021Holdings LLC v. Renco Grp., Inc., 2013 WL 5863010 , at *13 (Del. Ch. Oct. 31, 2013) (“In those cases where Delaware courts found that an alleged tortfeasor acted in bad faith after it was found to qualify for the limited affiliate exception, plaintiffs pleaded facts alleging that the tortfeasor had shifted the debtor entity's assets such that the entity was insolvent and could not satisfy its obligations to the creditor plaintiff.” (citations omitted)). 119 NAMA Holdings, 2014 WL 6436647 , at *30 (emphasis added). -24- The bare assumption that Investco, as controller of Virgin Fest, LLC, must

11
Allied Capital Corp. v. GC-Sun Holdings, L.P.green
delch · 2006 · cited in 1 Delaware opinions naming this issue, 2021–2021
1 sentence

2021Corp. v. GC-Sun Holdings, L.P., 910 A.2d 1020, 1024 (Del. Ch. 2006); PPL Corp., 2019 WL 5423306 , at *13; AM Gen.

11
Atlanta Market Center Management Co. v. McLanegreen
ga · 1998 · cited in 1 Delaware opinions naming this issue, 2020–2020
1 sentence

2020Memt., Co. v. McLane, 503 S.E.2d 278, 283-84 (Ga. 1998)). -34- Georgia is part of a competing group of jurisdictions that have adopted an absolute (rather than limited) affiliate privilege.'** According to this theory, “a parent and its wholly owned subsidiaries constitute a single economic unit.”!** By contrast, jurisdictions like Delaware recognize a limited affiliate privilege and employ “‘a balancing test of the kind elaborated in the Restatement (Second) of Torts.’”'?° The latter approach acknowledges “the significant economic interest of a parent corporation in its subsidiary” but does s

11
ASDI, INC. v. Beard Research, Inc.green
del · 2010 · cited in 1 Delaware opinions naming this issue, 2019–2019
1 sentence

2019As noted, the result of that approach is a limited affiliate privilege that protects a parent entity that “pursues lawful 16 WaveDivision, 49 A.3d at 1174-75 (affirming trial court’s determination that four of the seven Restatement factors weighed against a finding of improper interference); Beard Research, Inc., 11 A.3d at 750-52 (describing trial court’s analysis of justification and the affiliate privilege as interpreting “too narrowly the nature and scope of a claim for tortious interference”); NAMA, 2014 WL 6436647 , at *28-36 (balancing the Restatement factors to determine whether the af

11

Distinguished, questioned or overruled (0)

CaseNegativeCited
No negative-treatment citations attached to this issue in Delaware. Read the followed side critically anyway.

Also cited on this issue (1)

CaseCitedYears
Shearin v. E.F. Hutton Group, Inc. green
delch · 1994
2 sentences

2023The result is a limited affiliate privilege that protects a parent corporation that “pursues lawful action in the good faith pursuit of [the subsidiary’s] profit making activities.” Id.

2022The result is a limited affiliate privilege that protects a parent corporation that “pursues lawful action in the good faith pursuit of [the subsidiary’s] -4- profit making activities.” Id.

32019–2023

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