(12/12/2018, Boston, MA) – Sheehan Phinney’s Business Litigation team has received a favorable award for our client, Robert Scarborough, in an arbitration at the American Arbitration Association (AAA). Attorney Michael Lambert, a Shareholder and Head of the Boston Office, lead the Sheehan team, which also included associates Michael Stanley and Deniz Harrison and Sheehan’s Manager of Electronic Discovery, Charlie Stewart.
Scarborough is a minority shareholder, director and founder of NeoMed, Inc., a leading manufacturer of feeding tubes and related products for neonatal patients. He is also the owner of Innovative Medical Services, which was a distributor of the NeoMed products.
Scarborough is a plaintiff in a lawsuit filed against the majority shareholder of NeoMed for, among other things, breach of fiduciary duty and fraud. In response to that lawsuit, NeoMed’s majority shareholder caused NeoMed to assert claims against Scarborough at the AAA for breach of the Shareholder Agreement and breach of fiduciary duty. Given the nature of arbitration, the portion of the dispute between the shareholders of this closely-held corporation being heard at the AAA was accelerated and resolved prior to the claims asserted by Scarborough in his lawsuit.
Following a three-day evidentiary hearing, the AAA arbitrator issued an award finding in favor of Scarborough on all claims. With this aspect the dispute resolved in Scarborough’s favor, the Sheehan team will continue to pursue Scarborough’s claims asserted in the litigation.
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Sheehan Phinney is a full service business law firm representing local, national and international clients with innovative approaches and practical solutions. Founded in 1937, Sheehan Phinney has grown to over 60 attorneys with four offices throughout New Hampshire and Massachusetts and is known for professional excellence, practical counsel and commitment to both its clients and the communities it serves. Sheehan Phinney is the exclusive member in New Hampshire of Lex Mundi, the world’s leading association of premier independent law firms.