Opinion ID: 1232739
Heading Depth: 1
Heading Rank: 2

Heading: facts

Text: The appellants brought the present action against E&S and AFSC. This action was filed concurrently with separate actions against AFSC and majority shareholders, which are not part of this appeal. In the operative complaint, Aaron asserts one individual claim against E&S and the appellants assert four counts against E&S and AFSC. Count I is an individual claim on behalf of Aaron for wrongful registration against E&S only. Under this count, Aaron alleges that he was gifted 11,764 shares of common stock in AFSC by his father, Harvey Ferer, and that E&S, in its capacity as transfer agent for AFSC, canceled the stock certificate representing his 11,764 shares of common stock and caused another stock certificate to be issued for those shares in the name of Harvey Ferer. Aaron further alleges that E&S subsequently recorded a transfer of those shares to Matthew Ferer and Whitney Ferer and issued those individuals new stock certificates which represented their purported ownership of that stock. Aaron alleges that the transfer of stock to Harvey Ferer and then to Matthew Ferer and Whitney Ferer was wrongful because it was done so without Aaron's endorsement or authority. Counts II through V are derivative claims on behalf of AFSC for breach of duty of care, breach of duty of loyalty, wrongful registration, and unjust enrichment and accounting. The appellants allege that Aaron made demand on AFSC to pursue an action against E&S and that over 90 days had elapsed without action. Under count II, the appellants allege, inter alia, that E&S negligently advised AFSC regarding the effect of the appellants' dissent from the asset sale of AFSC, the appellants' rights to payment of the fair value of their stock under the dissenters' rights provisions found in Neb. Rev. Stat. § 21-20,141 (Reissue 1997) of the Business Corporation Act, and the appellants' entitlement to payment under AFSC's plan of partial liquidation. The appellants claim that E&S' negligent advice has and will cause AFSC to sustain numerous financial damages. Under count III, the appellants essentially allege that E&S breached its duty of loyalty to AFSC by representing Matthew Ferer and Whitney Ferer at the same time as they represented AFSC and by facilitating the appropriation of corporate opportunities by Matthew Ferer and Whitney Ferer. Under count IV, the appellants allege that E&S is liable for damages sustained by AFSC as a result of E&S' actions in the wrongful registration of Aaron's stock, which was ultimately reissued in the names of Matthew Ferer and Whitney Ferer. Finally, under count V, the appellants allege that E&S is not entitled to the attorney fees paid to it by AFSC due to its negligent advice and its representation of conflicting interests. The appellants claim that to allow E&S to retain those fees would result in E&S' being unjustly enriched. The district court granted E&S' motion to dismiss filed pursuant to Neb. Ct. R. of Pldg. in Civ. Actions 12(b)(6) (rev. 2003). With regard to the appellants' derivative claims, the district court found that the appellants did not fairly and adequately represent AFSC's interests as required in derivative actions. With regard to Aaron's individual claim for wrongful registration, the district court treated it as a claim for legal malpractice and concluded that E&S did not owe Aaron any duty. The appellants filed an appeal of the dismissal of their claims to the Nebraska Court of Appeals. The Court of Appeals dismissed the appeal on the ground that the appellants were not appealing a final order. See Ferer v. Erickson & Sederstrom, 13 Neb. App. ___ (No. A-04-1299, Apr. 8, 2005). On remand, the appellants filed a motion for a final order pursuant to Neb. Rev. Stat. § 25-1315 (Cum. Supp. 2004), and a motion to strike AFSC as a defendant, which motion was granted. Upon the district court's entry of a final order, the appellants timely filed the present appeal.