If you are unable to see this message, click here to view it in a web browser.

Justia Daily Opinion Summaries

Delaware Court of Chancery
August 4, 2020

Table of Contents

Applied Energetics, Inc. v. Farley

Business Law, Contracts

COVID-19 Updates: Law & Legal Resources Related to Coronavirus

Click here to remove Verdict from subsequent Justia newsletter(s).

New on Verdict

Legal Analysis and Commentary

Religious Entities Flex Their Muscles Through the Roberts Court, Playing Both Sides of the Discrimination Coin

MARCI A. HAMILTON

verdict post

Marci A. Hamilton, a professor at the University of Pennsylvania and one of the country’s leading church-state scholars, describe how legal entities wielded their religious identity as both a shield and a sword last term before the U.S. Supreme Court. Hamilton points out that religious entities won key cases that allow them to receive from government funding while enjoying exemptions from neutral generally applicable non-discrimination laws.

Read More

Delaware Court of Chancery Opinions

Applied Energetics, Inc. v. Farley

Docket: C.A. No. 2018-0489-JTL

Opinion Date: August 3, 2020

Judge: Laster

Areas of Law: Business Law, Contracts

The Court of Chancery granted in part and denied in part the motion for partial summary judgment filed by Applied Energetics, Inc. (the Company) on its claims against George Farley, the Company's former director and principal executive officer, and AnneMarieCo, LLC, holding that Farley lacked authority to issue himself twenty-five million shares and grant himself an annual salary of $150,000 per year but that the Company was not entitled to summary judgment on Farley's counterclaims. The Company asserted several claims based on Farley's actions. Farley filed counterclaims against the Company for breach of contract, for unjust enrichment, and to validate his actions under section 205 of the Delaware General Corporation Law. The Company moved for partial summary judgment. The Court of Chancery granted the motion in part and denied it in part, holding (1) because Farley was the Company's sole remaining director when he issued himself stock and granted himself compensation, Farley's actions were invalid; (2) because the Company had the corporate power to issue shares and compensate its officers and directors Farley's acts could be validated under section 205; (3) the Court had the power to validate Farley's decision to grant himself a salary; and (4) evidence could support Farley's claim for compensation under a theory of quantum merit.

Read Opinion

Are you a lawyer? Annotate this case.

About Justia Opinion Summaries

Justia Daily Opinion Summaries is a free service, with 68 different newsletters, covering every federal appellate court and the highest courts of all US states.

Justia also provides weekly practice area newsletters in 63 different practice areas.

All daily and weekly Justia newsletters are free. Subscribe or modify your newsletter subscription preferences at daily.justia.com.

You may freely redistribute this email in whole.

About Justia

Justia is an online platform that provides the community with open access to the law, legal information, and lawyers.

Justia

Contact Us| Privacy Policy

Unsubscribe From This Newsletter

or
unsubscribe from all Justia newsletters immediately here.

Facebook Twitter LinkedIn Justia

Justia | 1380 Pear Ave #2B, Mountain View, CA 94043