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DOL Claims Board Failed to Monitor Independent ESOP Trustee

A company’s founders (and sole directors) contest DOL allegations that they failed to prudently monitor the independent ESOP trustee’s duty to not overpay for the stock. M&A Stories June 17, 2021 Introduction An exit strategy for an owner of a

Posted in director liability, independent trustee, prudence, sale of business to ESOP Tagged with: ,

DOL sues Target Directors for Breach of Fiduciary Duties in ESOP Transaction

DOL claims that independent ESOP trustee overpaid for the majority owner’s stock and sued the company’s directors for breach of fiduciary duty.  The purchase price was 2.5 times higher than the prior 5 years ESOP valuations. M&A Stories March 29,

Posted in director liability, independent trustee, sale of business to ESOP

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