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KNIGHTEK, LLC v. JIVE COMMUNICATIONS, INC.

No. 570, 2018.

225 A.3d 343 (2020)

KNIGHTEK, LLC, Plaintiff Below, Appellant, v. JIVE COMMUNICATIONS, INC., Defendant Below, Appellee.

Supreme Court of Delaware.

Decided: January 27, 2020.

Attorney(s) appearing for the Case

Ryan P. Newell, Esq. , (argued) Lauren P. DeLuca, Esq. , CONNOLLY GALLAGHER LLP, Wilmington, Delaware; Attorneys for Plaintiff-Appellant KnighTek, LLC.

Rudolf Koch, Esq. , Robert L. Burns, Esq. , (argued) Nicole K. Pedi, Esq. , RICHARDS, LAYTON & FINGER P.A., Wilmington, Delaware; William Trach, Esq. , LATHAM & WATKINS LLP, Boston, Massachusetts; Attorneys for Defendant-Appellee Jive Communications, Inc.

Before SEITZ, Chief Justice; VALIHURA, VAUGHN, TRAYNOR, Justices; and SLIGHTS, Vice Chancellor, constituting the Court en Banc.

As alleged in the complaint, when Erik Knight sold KnighTek, LLC to Jive Communications, Inc., Jive agreed to pay Knight $100,000 upfront and a revenue-based payment stream capped at $4.6 million. The continuing payments would convert to a lump sum payment if Jive's ownership changed. Years later, Jive offered to cash out KnighTek...

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