Legal analysis from Dean's Law Dictionary will be displayed here.

This section contains the nature of the case and procedural background.

Charles and Sonny were brothers who formed a partnership to haul milk. After 17 years Sonny told Charles he did not want to work with him anymore. Sonny notified their contractor (DI) that they would no longer be renewing their agreement and at the same time notified DI that he wanted to continue in the relationship. Sonny and Charles executed an agreement to resolve their business arrangement. They held a private auction for the assets of the partnership. Charles was the high bidder at $86,000. The agreement to end the relationship had a covenant not to compete, and that if DI did not approve that the agreement would be null and void. On the same day of the auction, DI called a meeting and voted to have Sonny haul the milk. Sonny accepted, and Charles sued alleging that Sonny violated his fiduciary duty. The trial court ruled for Sonny. When the producers were voting for Sonny they were not voting on a partnership matter; they were voting on Sonny's individual application. The value of the partnership assets became adjusted to $22,000 when DI voted for Sonny. Charles appealed from the dismissal of his claim.

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