Yesterday, the California Court of Appeal issued a brief, yet interesting, opinion that addressed several questions of California corporate law, Monty v. Leis, Cal. Ct. of Appeal (Div. 6) 2d Civil No. B225646 (March 30, 2011).

The Facts

The case initially involved a suit by two shareholders of a bank to stop an infusion of additional capital required by the bank’s regulators. By the time the case made its way to the Court of Appeal, the transaction had closed and the plaintiffs were seeking rescission.