Houston American Beats Investor Suit Over Exec Bonuses

Law360, Houston (February 26, 2013, 10:06 PM EST) -- A Texas federal court on Tuesday tossed a shareholder derivative suit against executives and directors of Houston American Energy Corp., ruling their decision to pay themselves bonuses while business was bad was not sufficiently demonstrated to be against the company’s interest.

U.S. District Judge Gray H. Miller found that E. Howard King Jr. could not maintain his suit against the company unless he showed a majority of its directors had financial motives conflicting with shareholders’ interests and that the pay raises were an unreasonable business decision,...
To view the full article, register now.

Documents

Related

Sections

Case Information

Case Title

King v. Terwilliger et al


Case Number

4:12-cv-02182

Court

Texas Southern

Nature of Suit

160(Stockholders Suits)

Judge

Judge Gray H. Miller

Date Filed

July 19, 2012

Law Firms

Companies

Government Agencies

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.