Niesar v. Zantaz
Plaintiff Kristen H. Niesar appeals from a judgment of the Alameda County Superior Court following entry of summary judgment in favor of defendants Zantaz, Inc., a California corporation (Zantaz) and various other entities and individuals in plaintiffs shareholders derivative lawsuit against them. The superior court granted the defense motion for summary judgment on the ground that a special litigation committee appointed by the Zantaz board of directors made a good faith determination that it was not in the companys best interest to prosecute plaintiffs claim. On appeal, plaintiff contends: (1) the special litigation committee defense is inapplicable to actions such as this, where there are allegations of self dealing by a majority of the corporations board of directors (Corp. Code, 310, subd. (a)), and (2) the trial court erred in determining that there were no triable issues of material fact as to the adequacy of the investigation conducted by the special litigation committee. Court affirm the judgment.
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