Humphrey Industries Wins Favorable Washington Supreme Court Decision
On November 10, the Washington Supreme Court issued an opinion in favor of Lane Powell client, Humphrey Industries Ltd., in a case involving dissenters’ rights against Clay Street Associates. Humphrey dissented from a merger with Clay Street and demanded payment pursuant to the dissenters’ rights statutes. The Washington Supreme Court’s decision ruled that Clay Street failed to comply with the requirement to make an immediate payment to Humphrey for its fair value of its interest in the company. “Humphrey was thereby deprived of the immediate use of the fair value of its interest, contrary to the underlying purpose of the dissenters’ rights statute. It follows that Clay Street did not substantially comply with the statute,” the decision read. “If any acts were in bad faith, they were committed by Clay Street …” The Court overturned both the decision of the trial court and the Court of Appeals. The Court reversed the award of fees to Clay Street and awarded Humphrey attorneys’ fees. Lane Powell attorneys for the appeal included Andrew Gabel, Jennifer Beyerlein, Ryan McBride, Stan Beck and David Spellman.