Luis Rodriguez Lopez v. American Sales and Management Organization, LLC
A former CEO/manager sued by his company sought advancement of attorney's fees incurred in the pending appeal of the final judgment, relying on the indemnification/advancement provision of the parties' LLC operating agreement. The trial court denied the post-judgment motion. The Third DCA reversed, holding that because the operating agreement requires advancement of expenses until 'final disposition,' and that phrase means the final, non-appealable conclusion of the proceeding, the company must advance the former officer's appellate expenses.
Key facts
- Luis Rodriguez Lopez, a former CEO/manager of American Sales and Management Organization, LLC, sought advancement of attorney's fees for a pending appeal of a final judgment against him.
- The trial court denied Lopez's post-judgment motion for advancement of appellate attorney's fees under the LLC operating agreement's indemnification provision.
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Why it matters
The opinion resolves a practically recurring question for officers, directors, and managers litigating under corporate or LLC indemnification provisions: advancement obligations do not stop at final judgment but… — full analysis with a trial
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