At a UCC sale, Plaintiff purchased the interest of LLC (Grayslake) in CFC, a real estate development company, from bank, after bank foreclosed on Grayslake’s loan. CFC then sold its sole asset for profit of more than $4 million. Manager of CFC questioned the validity of the UCC sale and refused to deliver Plaintiff her share of the sale. Court properly found that Plaintiff was not a member of CFC and lacked standing to (i) bring claims for breach of fiduciary duty or breach of good faith and fair dealing against CFC's manager, (ii) obtain an accounting, and (iii) challenge CFC’s indemnification of CFC's manager for attorney’s fees and costs. Court’s finding that Plaintiff was entitled to a 13.75% interest in the proceeds of the sale was not against manifest weight of the evidence. Court did not abuse its discretion in denying Plaintiff's request for attorney’s fees and costs.(PIERCE and COGHLAN, concurring.)
Illinois Appellate Court
Civil Court