Malone et al. v. Kantner et al., 4:12 cv 3190 (2015)
I served as the lead counsel for the Plaintiffs, minority shareholders of Blue Valley Foods, who sued Douglas Kantner, the majority shareholder, director, and President, alleging breaches of fiduciary duty, conversion, and fraudulent concealment and misrepresentation. Blue Valley Foods made imitation cheese and other cheese products. In addition to being the majority shareholder of Blue Valley, Kantner was also the sole owner of Kantner Group, a holding company, which in turn owned other companies that made and sold dairy products. Under Kantner's direction, Blue Valley was forced to purchase the products to make its cheese from other Kantner-owned entities at a significant markup and to pay those Kantner-owned entities a substantial management fee. Kantner also cross-collateralized the assets of Blue Valley with those of his other companies. Blue Valley was eventually placed into receivership and liquidated.
The Shred Line
Discussion about what happened to Blue Valley's shred line.
The Tax Returns
Discussion about Blue Valley's corporate tax returns.
Discussion about bank documents representing to Wells Fargo that meetings of the Board of Directors and shareholders were held, when they actually were not.
Discussion about questionable freight charges and the reason Rutter resigned from the Kantner Group.