PER CURIAM.
This appeal arises out of an adversary proceeding initiated in bankruptcy court by Plaintiff-Appellant Gary W. Cruickshank, the trustee of the Chapter 7 estate of Environmental Careers Organization, Inc. ("ECO"), against ECO's former president, Defendant-Appellee John R. Cook, Jr. ECO, a nonprofit corporation organized under the laws of Massachusetts, maintained government contracts with various agencies, including the federal Environmental Protection Agency ("EPA"), whereby it received compensation for the costs of placing students in agency internships. The crux of Cruickshank's complaint is that Cook breached his fiduciary duty of care to the organization, insofar as he ignored warnings from his staff that he had been misinterpreting government contracts by treating certain reimbursement rates as "fixed" rather than "provisional," and had improperly retained surpluses. As a result, the complaint alleges, the EPA eventually audited ECO and sought recovery of payments of over $6 million from ECO. Subsequently, ECO filed for bankruptcy.
Before the district court — which had withdrawn the reference to the bankruptcy court — Cook moved for judgment as a matter of law, arguing that Cruickshank could not make out his case where he had failed to proffer, in advance of trial, expert witnesses who would testify to the applicable standard of care. After a round of briefing on the issue, the district court agreed, reasoning that a jury would be capable of assessing the veracity of Cruickshank's allegations only with the help of an expert in the area of accounting and/or corporate management practices. The court observed that whether Cook had "`failed' to take `corrective action' after being warned that ECO was `misinterpreting government contracts,' or to `sufficiently inquire' into company practices, or to `ensure' that `proper policies' were implemented," were matters that could not reliably be assessed without an expert qualified under Federal Rule of Evidence 702; without testimony as to such matters, Cruickshank would be unable to satisfy his burden of proof as to his only claim, breach of fiduciary duty.
Applying de novo review, we affirm.
Although Massachusetts law does not categorically require expert testimony to elucidate the professional standard of care applicable to officers of a nonprofit corporation, the district court properly concluded that this particular case could not be resolved without specialized knowledge. As the district court determined, the peculiar factual issues underlying the claim, involving technical areas of government contracting and corporate financial management, are "substantive matters beyond the ken of lay jurors."
Thus, the district court, which has primary familiarity with the evidentiary nuances of this case, did not err in granting Cook's motion for judgment as a matter of law. We accordingly