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CHAMISON v. HEALTHTRUST, INC. — HOSP. CO.

C.A. No. 15904.

735 A.2d 912 (1999)

Alan CHAMISON, Plaintiff, v. HEALTHTRUST, INC. — The HOSPITAL COMPANY, Defendant.

Court of Chancery of Delaware, New Castle County.

Decided: January 12, 1999.

Modified and Reissued After Post-Trial Motion: June 30, 1999.

Attorney(s) appearing for the Case

Stuart M. Grant, and Herbert W. Mondros, of Grant & Eisenhofer, P.A., Wilmington; of counsel: Scott S. Hershman, and Richard W. Barrett, of Bickel & Brewer, Dallas, Texas, for Plaintiff.

Wayne N. Elliott, and April Caso Ishak, of Prickett Jones Elliott & Kristol, Wilmington, for Defendant.

OPINION

CHANDLER, Chancellor.

A director of a Delaware corporation was named a defendant in a derivative suit filed in a state court in Texas. The director was successful in the derivative action, obtaining a dismissal with prejudice. In doing so, however, he employed a Texas law firm that was not approved by the Delaware corporation, which had since merged with another Delaware corporation. The director brought this lawsuit to enforce his right to...

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