Comments on: corporations law

Question: corporations law

KimikoPi — Wed, 03 Jan 2007 22:42:31 -0800

What is the difference between enjoining a transaction and setting aside a transaction? This is in the context of corporations law and conflicting interest transactions.

By: Mr. President Dr. Steve Elvis America

Mr. President Dr. Steve Elvis America — Thu, 04 Jan 2007 01:51:15 -0800

A transaction can be enjoined only before it is consummated, but it could be set aside afterward.

By: ibmcginty

ibmcginty — Thu, 04 Jan 2007 08:39:27 -0800

Mr. America has it.

You seek an injunction to prevent the sale before the fact; to get it, you need to prove whatever the three things are that you need to establish to get a preliminary injunction (probability of success on the merits, irreparable harm, and... something else, I think). You set aside a transaction after the fact, and that's where you're more likely to see a fuller treatment of conflict of interest issues.