In Narrow LLC Case, Delaware Court of Chancery Grants Dismissal of Advancement and Indemnification Action
March 19, 2021
Mr. Chodes was a member of Oasis Legal Finance Operating Company LLC and was sued by the company. In the action before the Delaware Court of Chancery on October 15th, Mr. Chodes sought advancement of legal defense funds from the LLC due to claimed indemnification, and the LLC sought dismissal. Vice Chancellor Laster noted that in preparation for the hearing he had examined the briefs of both parties and had completed his own legal research as the claims of both parties were not precisely correct. Given that the Court had not heard anything new during the hearing to change his mind, he provided his decision and opinion from the bench. The outcome came down to the contractual agreements.