Investor Lawsuit Allowed to Continue in State Court

The Tennessee Supreme Court yesterday unanimously decided that a lawsuit filed by Jeffrey R. Cooper against a movie start-up could proceed in state court. Cooper’s suit claims Phillip, Richard and David Glasser misrepresented facts to induce him to invest $500,000 in their production company, Hi Def Entertainment. After Cooper requested dismissal of a similar action filed in California and a suit filed in federal court, the defendants sought to block the case based on a federal rule that precludes proceeding on a claim after two dismissals. The high court determined that the voluntary federal dismissals did not address the merits of the case and that the claims raised by Cooper were still viable in state court. The Administrative Office of the Courts has more.