Dalany
Dalany v. American Pacific Holding Corp.
Opinion
Opinion
Benke, J.
In this case we find a malicious prosecution action cannot be maintained where, following lengthy negotiations, a stipulated judgment is entered in favor of one of the parties.
I
Factual and Procedural Background
A. Underlying Case
In 1990 plaintiff and appellant Michael D. Dalany was president, a director, a shareholder and a creditor of defendant and respondent American Pacific Holding Corporation (APHC) and its related entities. In the spring of 1990 the other directors of APHC agreed to sell their shares to Frank J. Domingues. Rather than sell his shares to Domingues, Dalany resigned as an officer and director of the corporation. Following Dalany’s departure, defendant and respondent Donald L. Poindexter became president of APHC.
On May 1, 1990, Dalany filed a complaint to collect $165,000 in loans he had advanced to the corporation. Dalany’s complaint included claims against Poindexter.
In response to Dalany’s complaint, the corporation filed an answer raising a number of affirmative defenses and a cross-complaint in which it alleged Dalany had been guilty of various breaches of his fiduciary duty to the corporation. In May 1991 the trial court denied Dalany’s…