Question
William G. Young was a director of Pool Builders Supply, Inc.(Pool Builders). Pool Builiders experienced financial difficultiesand was forced to file for bankruptcy. Eddie Lawson
William G. Young was a director of Pool Builders Supply, Inc.(Pool Builders). Pool Builiders experienced financial difficultiesand was forced to file for bankruptcy. Eddie Lawson was appointedthe receiver for the creditors of the corporation. Lawson believedthat Young had mismanaged the corporation. Lawson filed suitagainst Young and Pool Builders, alleging that Young used PoolBuilders personally to obtain money, goods, and property fromcreditors on the credit of the corporation. Lawson's suit alsoalleged that Young had attempted to convert corporate assets forhis own use. Young defended the suit for himself and thecorporation. At trial, the judge found insufficient evidence tosupport Lawson's charges, and the suit was dismissed. Young thensought to have Pool Builders pay the legal fees he had incurredwhile defending the suit. Can Young recover this money from thecorporation?
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