Oregon Court of Appeals Affirms Right to Shareholder Buy-Out

Litigation over disputes among shareholders in closely held corporations can be lengthy, expensive, and stressful.  It is hard on the company’s shareholders, employees, creditors, and the economy.  The Oregon legislature created a statutory “escape route” in ORS 60.952.  In certain circumstances, that statute gives shareholders or the company a right to elect a forced buyout of a complaining shareholder’s shares for fair value.  In an appeal handled by Susan Marmaduke, the Oregon Court of Appeals upheld that right in Graydog Internet, Inc. v. Giller, 279 Or App 722 (2016).