Streck, Inc. v. Ryan Family, 297 Neb. 773

Streck, Inc. sued Ryan Family, L.L.C. (LLC) for breach of a lease option to purchase real property and sought specific performance after closing did not occur.
The LLC is managed by two co-managers; they disagreed on litigation strategy, so a receiver was appointed to represent the LLC and filed an answer and counterclaim asserting Streck defaulted under the lease.
Stacy Ryan, a ~20% nonmanaging member of the LLC, filed a Complaint in Intervention (seeking to intervene individually and derivatively for the LLC), alleging the receiver and managers were not adequately protecting the LLC’s interests.
The district court denied Ryan’s motions to intervene and to continue the partial summary judgment hearing; Ryan appealed the denial of intervention.
The Nebraska Supreme Court considered (1) whether the order denying intervention was appealable and (2) whether Ryan alleged a direct and legal interest sufficient to intervene either in her own right or on behalf of the LLC.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Jurisdiction: is order denying intervention appealable?	Ryan: order is final and appealable.	Streck: §25-1315 requires express language for finality, so order is not appealable.	Order denying intervention is a final, appealable order; §25-1315 does not alter intervention final-order jurisprudence.
Right to intervene in Ryan's personal capacity	Ryan: as a 20% member she will gain/lose financially and thus has a direct legal interest.	LLC/Streck: nonmanaging member lacks authority; financial interest is indirect and insufficient.	Denied: mere potential change in distributions is an indirect interest; nonmanaging member lacks authority to control LLC litigation.
Right to intervene derivatively/on behalf of the LLC	Ryan: receiver/ managers aren’t fully protecting LLC; she seeks to protect LLC interests.	Defendants: receiver was appointed to defend and is representing LLC; derivative route requires statutory procedure.	Denied: no allegation receiver will not protect LLC; Holmes exception inapplicable; Ryan did not bring a derivative action or satisfy its prerequisites.
Request to continue/reopen summary judgment for discovery	Ryan: needed access to discovery and time to litigate after intervening.	Defendants: proceedings should continue; intervention not permitted so no need to continue.	Not reached on merits because intervention denied; appellate court declined to address remaining claims.

Steinhausen v. HomeServices of Neb., 289 Neb. 927 (2015) (members cannot maintain claims that belong to the LLC in their individual capacity)
State v. Holmes, 60 Neb. 39 (1900) (limited exception allowing shareholder to intervene when corporation cannot or will not protect its interests)
Spear T Ranch v. Knaub, 271 Neb. 578 (2006) (standards for intervention and presumption that intervenor's allegations are taken as true)
Ruzicka v. Ruzicka, 262 Neb. 824 (2001) (intervention issues and appellate review standards)
Freedom Fin. Group v. Woolley, 280 Neb. 825 (2010) (distinction between corporate/LLC claims and individual claims of members)