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HARRIS v. HARRIS

C.A. No. 2019-0736-JTL.

289 A.3d 310 (2023)

Timothy J. HARRIS, et al. Plaintiffs, v. Mary Ellen HARRIS, et al., Defendants.

Court of Chancery of Delaware.

Date Decided: January 19, 2023.

Attorney(s) appearing for the Case

Joel Friedlander , Christopher M. Foulds , David Hahn , FRIEDLANDER & GORRIS, P.A., Wilmington, Delaware; Counsel for Petitioner/Plaintiff Timothy J. Harris.

S. Michael Sirkin , R. Garrett Rice , ROSS ARONSTAM & MORITZ LLP, Wilmington Delaware; Gregory Lomax , LAULETTA BIRNBAUM, Sewell, New Jersey; Jill Guldin , FISHER BROYLES, LLP, Princeton, New Jersey; Counsel for Kristen C. Harris and Megan Harris Loewenberg.

David A. Jenkins , Julie M. O'Dell , SMITH, KATZENSTEIN & JENKINS LLP; Wilmington, Delaware; Counsel for Mary Ellen Harris.

Steven L. Caponi , Matthew B. Goeller , Megan E. O'Connor , K&L GATES LLP, Wilmington, Delaware; Counsel for Mary Ellen Harris, Paul Petigrow, and Michael Schwager.

Kurt M. Heyman , Patricia L. Enerio , Gillian L. Andrews , HEYMAN ENERIO GATTUSO & HIRZEL LLP, Wilmington, Delaware; Counsel for Royce Management, Inc., Judith Lolli, and Charles Grinnell.

John L. Reed , Ronald N. Brown, III , Peter H. Kyle , Kelly L. Freund , DLA PIPER LLP (US), Wilmington, Delaware; Neal J. Levitsky , E. Chaney Hall , FOX ROTHSCHILD LLP, Wilmington, Delaware; Emily A. Kaller , GREENBAUM, ROWE, SMITH & DAVIS LLP, Woodbridge, New Jersey; Counsel for Harris FRC Corporation.

William M. Kelleher , Phillip A. Giordano , Madeline Silverman , GORDON, FOURNARIS & MAMMARELLA, P.A., Wilmington, Delaware; Counsel for The Mary Ellen Harris 2011 Grantor Retained Annuity Trust.

OPINION

Dr. Robert M. Harris, Sr. formed Harris FRC Corporation (the "Company").1 He and his spouse, Mary Ellen Harris, originally owned all of its 1,000 shares as tenants by the entirety. They gifted 190 shares to their five children (the "Siblings"), and they set up two grantor retained annuity...

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