Distillery Owners Battle Over Oral Operating Agreement

Law360, New York (March 20, 2017, 8:12 PM EDT) -- A minority member of a whiskey and rum distillery filed suit in Delaware Chancery Court late Friday saying the other two members changed their oral operating agreement without his knowledge in an effort to push him out of the business and dilute his interest.

Daniel Gerlanc says that Barrell Craft Spirits LLC has been operating since 2013 under an oral operating agreement among himself and its two other members that prevents any material alterations without consent from all three. He accuses the others, Joseph Beatrice and Jacob Goldstein, of secretly adopting a written operating agreement as a means of raising additional...

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