Rude v. Cook Inlet Region, Inc.
Robert Rude and Harold Rudolph were shareholders and former directors of Cook Inlet Region, Inc. (CIRI). They distributed a joint proxy solicitation in an attempt to be elected to the CIRI board of directors at CIRI’s 2010 annual meeting. Rude and Rudolph accumulated over one quarter of the total outstanding votes, but CIRI’s Inspector of Election refused to allow them to cumulate their votes. Thus, votes were split evenly between the two of them and neither was seated. Upon review of the matter, the Supreme Court concluded that the language of the proxy form required the shareholders’ votes to be equally distributed between Rude and Rudolph unless a shareholder indicated otherwise. Therefore the Court affirmed the superior court’s decision granting summary judgment in favor of CIRI on this issue. View "Rude v. Cook Inlet Region, Inc." on Justia Law