Veteto v. Coffee Medical Group, LLC d/b/a United Regional Medical Center

Complaint for wrongful corporate actions - Member Derivative Complaint

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Henry & McCord attorneys, Clifton N. Miller and John R. LaBar, have filed a member derivate lawsuit on behalf of members of Coffee Medical Group, LLC d/b/a United Regional Medical Center ("URMC" or the "Company") in the Chancery Court of Coffee County, Tennessee. The lawsuit is also filed on behalf of the nominal defendant URMC and against URMC's former CEO, Robert George. URMC is in the business of operating an acute-care, full-service community hospital and nursing home. The action alleges breaches of fiduciary duty, mismanagement of corporate assets and seeks judicial intervention to prevent further harm to the members. The action is captioned Lisa Veteto and The Fairmont Group, LLC v. Coffee Medical Group, LLC d/b/a United Regional Medical Center and Robert George and has case number 10-282.

As detailed in the complaint, URMC has repeatedly failed to provide the Plaintiffs required corporate documents of the Company. In addition, according to the complaint, Defendant, Robert George, breached his fiduciary duties to the Company by failing to exercise the care an ordinarily prudent person in a like position would exercise under similar circumstances and by taking actions which were not in a manner that Defendant George, in his position as CEO of the Company, believed to be in the best interests of URMC. Defendant George's, intentional violation and/or reckless disregard of his standard of conduct as an officer, his breaches of his fiduciary duties of care, loyalty, accountability and disclosure to members has harmed the Plaintiffs and the Company for which they are entitled to recover damages from Defendant George.

The Plaintiffs request in the Complaint that a corporate audit of URMC be conducted, that Defendant George be made to account for any wrongful acts and his breaches of his fiduciary duty to the Company, and for judicial intervention in order to ensure the safekeeping, collection, management and disposition of the Company's property, to achieve t

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Published In: Business Organization Updates, Business Torts Updates, General Business Updates

Reference Info:Pleadings | State, 6th Circuit, Tennessee | United States

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© John R. LaBar, Henry, McCord, Bean, Miller, Gabriel & LaBar, P.L.L.C. | Attorney Advertising

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