Topic: Joinder of Parties

CHANCERY COURT HOLDS THIRD PARTY IS LIKELY SUBJECT TO DELAWARE SERVICE OF PROCESS UNDER THE STATE’S LONG-ARM STATUTE AND THEREFORE THE COURT NEED NOT DETERMINE IF ADDITION AS INVOLUNTARY COUNTERCLAIM PLAINTIFF IS PROPER

By: Scott E. Waxman and Douglas A. Logan

In Lilly Lea Perry v. Dieter Walter Neupert and Cote d’Azur Estate Corporation, C.A. No. 2017-0290-VCL (Del. Ch. Dec. 6, 2017), the Court of Chancery held that the BGO Foundation (the “Foundation”) was a party that should be joined for just resolution of the underlying dispute between Lilly Lea Perry (“Ms. Perry”), the plaintiff, and Dieter Walter Neupert (“Mr. Neupert”) and Cote d’Azur Estate (the “Company”), the defendants. The Court of Chancery also held that because it appeared that the Foundation could be served under the Delaware Long-Arm Statute, it was not necessary for the court to consider adding the Foundation as an involuntary counterclaim plaintiff.

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