Fryar Law Firm Achieves Dismissal of Shareholder Oppression Lawsuit

On March 24, 2011, Fryar Law Firm obtained the dismissal of a shareholder oppression lawsuit asserted against our client in PCI-Products v. MLM, No. 2011-10850, in the 113th Judicial District Court, Harris County, Texas. The Plaintiff originally filed the action, claiming shareholder oppression, after the corporation's board of directors voted to replace the Plaintiff as president of the Company. The Plaintiff had been able to obtain a Temporary Restraining Order. Fryar Law Firm was then retained to take over the defense of the action. We filed motions to stay or dismiss based on the existence of an arbitration clause in the shareholders' agreement and on standing and jurisdictional defects and an extensive answer and special exceptions to the pleadings. See Fryar Law Firm's defensive pleadings. On the eve of the temporary injunction hearing, the Plaintiff voluntarily dismissed the entire action. The parties are expected ultimately to resolve the dispute by settlement or in arbitration.