Investor Sues RyMed Directors Over Loan Default

Law360, New York (August 19, 2013, 2:58 PM EDT) -- The directors of medical supply producer RyMed Technologies Inc. breached their fiduciary duty when they pledged all of the company's assets in exchange for a loan that they defaulted on, an investor said Friday in a lawsuit filed in Delaware state court.

The complaint, filed by minority shareholder Neal Farr, comes before an Aug. 31 sale of RyMed is scheduled to be finalized, and seeks to enjoin the transaction because it would trigger a “shocking” condition of the promissory notes that would double their value....
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