California Court of Appeal August 31, 1989, G006681 (Will v. Engebretson & Co.)

Opinion

SCOVILLE, P. J.

The superior court dismissed plaintiff’s shareholder derivative action under the “business judgment rule” after a compensation committee appointed by the corporation’s board of directors determined that it was in the best interests of the corporation to terminate the lawsuit. (See

Gaines

v.

Haughton

(9th Cir. 1981) 645 F.2d 761;

Lewis

v.

Anderson

(9th Cir. 1979) 615 F.