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Showing 2 posts in Unclean Hands.

Chancery Strikes Unclean Hands Defense Lacking Sufficient Nexus to the Claims

By Albert H. Manwaring, IV, Samuel E. Bashman, Albert J. Carroll on March 20, 2024
Posted In Chancery, Unclean Hands


Pilot Corp. v. Abel, C.A. No. 2023-0813-MTZ (Del. Ch. Dec. 13, 2023)
Here, the plaintiff claimed that the adoption of pushdown accounting constituted a change to accounting rights that triggered a right to consent under the relevant operating agreement. The defendants asserted that the plaintiff had unclean hands because the plaintiff had manipulated earnings to alter valuation of a put right. The Court found the unclean hands defense inapplicable because the plaintiff’s claims were narrow and did not have an immediate direct relation the defense.

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Chancery Holds That Party’s Untimely Counterclaim Cannot Avoid Laches Defense By Invocation of Unclean Hands

By Albert J. Carroll, Barnaby Grzaslewicz on August 1, 2023
Posted In Chancery, Laches, Statute of Limitations, Unclean Hands


Thomas D. Murray et al. v. Shannon Rolquin et al., C.A. No 2018-0819-KSJM (Del. Ch. Mar. 9, 2023)
In the Court of Chancery, untimely equitable claims may be time-barred by the doctrine of laches. However, a belated claimant may avoid a laches defense through a tolling theory. Here, a party attempted to excuse her delay in bringing counterclaims under a tolling theory and under a novel unclean hands theory. Post-trial, the Court was not persuaded by either theory.  More ›

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