{ "docId": "019dd923-622c-750b-8b99-b80c260b0389", "docSlug": "dee45f9e8542", "documentTitle": "Limbach Holdings, Inc. (LMB)", "authorId": "54_Spruce_Point_Capital", "authorName": "Spruce Point Capital Management", "documentKindSlug": "research-note", "documentKindLabel": "Research note", "sourceTypeSlug": "short_seller", "sourceTypeLabel": "Short seller", "presentationDate": "2025-07-22 00:00:00", "orientation": "landscape", "aspectRatio": 1.3333334, "pageNumber": 27, "pageCount": 86, "prevPage": 26, "nextPage": 28, "slideType": "expose_contradiction", "function": "expose_contradiction", "density": "overcrowded", "nDataPoints": 0, "notes": "The slide uses excerpts from legal filings to substantiate claims of corporate wrongdoing and executive liability.", "elementsJson": [ "headline_text", "callout_box", "paragraph", "screenshot" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b99-b80c260b0389/27", "deckHref": "/decks/019dd923-622c-750b-8b99-b80c260b0389", "deckJsonHref": "/decks/019dd923-622c-750b-8b99-b80c260b0389.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-b80c260b0389#slide-27", "components": [ { "bbox": { "h": 0.15, "w": 0.48, "x": 0.02, "y": 0.77 }, "kind": "callout", "text": "The plaintiffs argued that the defendants breached their fiduciary duties, gained unjust enrichment, and wasted corporate assets, among other claims. The parties in the case eventually reached a settlement and the case was dismissed.", "attrs": null, "subkind": "primary", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "54e16e1f-1018-4729-959f-2fd787b135a4", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "callout", "text": "The plaintiffs argued that the defendants breached their fiduciary duties, gained unjust enrichment, and wasted corporate assets, among other claims.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd953-70f3-714d-84bc-a12f4a4fdcf9", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.46, "x": 0.52, "y": 0.48 }, "kind": "other", "text": "BRANDON BOLL, Derivatively and on Behalf of CAPSTONE TURBINE CORP., Plaintiff, vs. DARREN R. JAMISON, NOAM LOTAN, GARY J. MAYO, GARY D. SIMON, ELIOT G. PROTSCH, HOLLY A. VAN DEURSEN, DARRELL J. WILK, RICHARD K. ATKINSON, JOHN V. JAGGERS, JAYME L. BROOKS, AND EDWARD I. REICH,", "attrs": null, "subkind": "unclassified", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f0aac96c-85b7-4fd7-9801-750c3f515dc5", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.46, "x": 0.52, "y": 0.31 }, "kind": "paragraph", "text": "132. Moreover, given their shared long tenure as members of the Compensation Committee, Defendants Mayo (chair), Wilk, and Van Deursen should have been aware of revenue recognition and internal control issues at the Company. However, these Director Defendants approved excessive salaries for Defendants Jamison, Reich, and Brooks while they knew, or were reckless in not knowing, that the Company was engaged in the wrongdoing alleged herein.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "04b2748e-390c-4147-8005-023ac3e67dd1", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.96, "x": 0.02, "y": 0.16 }, "kind": "paragraph", "text": "In 2016, Capstone shareholder Brandon Boll filed a shareholder derivative action against its management and board. Jayme Brooks was directly named as a defendant in the case. The plaintiffs argued that the defendants knowingly made false and misleading statements, breaching their fiduciary duty to Capstone. This case also centered around Capstone's allegedly inappropriate recognition of revenue related to its Russian distributor.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "4dd052a5-e1a8-45e7-b957-529b6d9ac666", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.45, "w": 0.48, "x": 0.02, "y": 0.31 }, "kind": "paragraph", "text": "19. Throughout the Relevant Period, the Individual Defendants breached their fiduciary duties by causing the Company to make materially false and misleading public statements and/or fail to disclose material information to investors concerning the true nature of the Company's business, operations and prospects. These breaches of duty negatively impacted the Company and caused the stock price to be artificially inflated during the Relevant Period. In particular, the statements were false and misleading and/or failed to disclose that: (i) BPC was unable to fulfill large quantities of purported sales in violation of certain legal and financial obligations to Capstone, and Capstone was aware of BPC's inability; (ii) despite knowing about BPC's inability to fulfill these obligations, Capstone subsequently did not adjust its accounts receivable and backlog in connection with BPC's failure to fulfill sales, thereby leading to publicly reported, but improperly recognized, revenues throughout the", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a9fd1c27-5bc8-4ff0-9d7c-d9a0b90e8328", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "19. Throughout the Relevant Period, the Individual Defendants breached their fiduciary duties by causing the Company to make materially false and misleading public statements and/or fail to disclose material information to investors concerning the true nature of the Company's business, operations and prospects. — Brandon Boll v. Darren R. Jamison, et al.", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd953-70f3-714d-84bc-a45828dd0e55", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.6, "x": 0.02, "y": 0.97 }, "kind": "source-note", "text": "Source: Brandon Boll v. Darren R. Jamison, et al., Capstone settlement stipulation, Red line emphasis by Spruce Point", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "aa7e2535-0d70-479c-975c-1858088e1eef", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.6, "x": 0.33, "y": 0.03 }, "kind": "title", "text": "CFO Jayme Brooks Directly Named In Suit Against Capstone Turbine", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "0cb22f24-def5-4f09-b22a-4c9e26d84c84", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 40, "from": 21, "beatId": "b005ffc8-65c8-40b2-8037-5bb5486205bd", "arcName": "Problem-Agitate-Solution", "arcSlug": "problem-agitate-solution", "beatName": "Expose Contradiction", "beatSlug": null, "evidence": "The document exposes several contradictions in Limbach's disclosures, including the company's claim of immateriality and its actual financial performance", "position": 1, "confidence": 0.8, "parentBeatName": null, "parentBeatSlug": null } ], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }