Webber v. Dash

Background

This order concerns post-judgment enforcement proceedings. Plaintiff Josh Webber moved to compel the sale of Defendant Damon Dash’s one-third interest in Roc-A-Fella Records, Inc. (“RAF”). RAF, which was not a party to the case, moved to intervene—meaning to join the proceeding for a limited purpose.

Court’s Analysis

The court found that RAF was entitled to intervene as of right under Federal Rule of Civil Procedure 24(a)(2). The court determined that RAF’s motion was timely; that RAF had an interest in the disposition of Dash’s RAF share; and that the sale could impair that interest by affecting RAF’s ownership, potentially implicating RAF bylaws requiring board approval for share transfers, and potentially affecting RAF’s value. The court also found that Dash would not adequately protect RAF’s interests because his personal interests did not align with RAF’s interests as a company and he had not opposed Webber’s request to force the sale.

The court further stated that, even if RAF were not entitled to intervene as of right, it would be entitled to permissive intervention under Rule 24(b).

Disposition

The court granted RAF’s motion insofar as RAF was permitted to intervene solely to litigate Webber’s motion to compel the sale of Dash’s one-third interest in RAF. The court said it would separately schedule a conference concerning Webber’s motion and directed the Clerk of Court to terminate the motion at Docket 341.