Ayala Obtains Summary Judgment in Key Affirmative Defense in Case Involving Unlawful Transfer of Stock

We are proud to announce that we have obtained a summary judgment in a case involving the unlawful transfer of our client’s stock to a shell company, wholly owned by the defendant, in the British Virgin Islands. The case involved a fund manager moving our client’s assets (a 15% interest in a TV Channel) to a BVI company without the client’s consent.

When sued, the defendant argued that the BVI company was a necessary party and therefore, our client’s claim should be dismissed.

At the summary judgment hearing, we argued that the defendant presented no evidence whatsoever other than a self-serving letter notifying the TV channel that the stock had been transferred.

Judge Trawick of the 11th Circuit Court of Miami Dade County held that the “letter is not proof of [the BVI entity] alleged ownership of [the stock]. See Ennis v. Phillips, 890 So. 2d 313, 315 (Fla. 4th DCA 2004) (finding that letter was “insufficient as a matter of law to support a finding that any ownership interest . . . was transferred”).”

Judge Trawick also held that “the testimony of [the corporate representative] is unpersuasive as to whether a transfer occurred. Indeed, the only document [she] alluded to was some “accounting register of the transfer of the shares.” When pressed, [she] admitted she did not know the location of the shares.”

Attorney Eduardo A. Maura stated, “We are very happy for our client. This is a four-year dispute that is finally approaching its end.”

For more information concerning stock transfers or ownership disputes, contact one of our experienced attorneys in Miami at 305-570-2208.

You can also contact our team directly at: arianna@ayalalawpa.com 

Schedule a case evaluation online here.

[The opinions in this blog are not intended to be legal advice. You should consult with an attorney about the particulars of your case].