Davis v. MKR Development, LLC

May 31, 2018

Record No: 171020 Davis v. MKR Development, LLC (As published by the Virginia Supreme Court) In a derivative action brought on behalf of a limited liability company by the majority shareholder against the entity appointed under the LLC’s operating agreement to manage the company, along with two of the manager’s principals, the circuit court erred in dismissing the action on the ground that the plaintiff had failed to first make a demand for the corporation to take action. Although Code § 13.1-1042, as amended, no longer expressly states a “futility exception” to the demand requirement, the revised statute did not abolish the futility exception, which has long been part of the law and is contemplated in other provisions of Virginia statutory law. The judgment dismissing the case without prejudice is reversed and the case is remanded for further proceedings.

    Use of Information

    The information contained in our web site describes legal matters handled in the past by our attorneys. Of course, the results we have achieved depend upon a variety of factors unique to each matter. Because each matter is different, our past results cannot predict or guarantee a similar result in the future.

    Copyright 2021 Law Office of George O. Peterson, PLC

    About Us

    The Law Office of George O. Peterson, PLC is a boutique litigation firm specializing in complex civil litigation involving trusts and estates, business matters, guardianships and conservatorships, and beneficiary designation disputes.

    Contact Us

    10484 Armstrong Street
    Fairfax, VA 22030
    T (703) 225-3620
    F (703) 225-3621


    Copyright 2021 PetersonSaylor PLC