The Delaware Court of Chancery has ruled that it has personal jurisdiction over investor Martin D. Sass in a case where he allegedly sold a company at an extremely low price to remedy his investment funds’ liquidity crisis.
Sass was sued by Virtus Capital in his capacity, through several entities, as controlling shareholder of Sterling Chemicals Inc. Virtus alleged in Virtus Capital L.P. v. Eastman Chemical that Sass breached his fiduciary duty by selling Sterling at a “fire-sale” price to alleviate the liquidity crisis for a series of investment funds identified under the corporate name Resurgence.
