• Diep v. Trimaran Pollo Partners, LLC

    Publication Date: 2022-07-12
    Practice Area: Corporate Governance
    Industry: Food and Beverage | Hospitality and Lodging | Investments and Investment Advisory
    Court: Delaware Supreme Court
    Judge: Justice Seitz
    Attorneys: For plaintiff: Ralph N. Sianni, Andersen Sleater Sianni LLC, Wilmington, DE; Hung G. Ta, JooYun Kim, Natalia D. Williams, HGT LAW, New York, NY; Peter Safirstein, Safirstein Metcalf LLP, New York, NY for appellant.
    for defendant: Kurt M. Heyman, Jamie L. Brown, Heyman Enerio Gattuso & Hirzel LLP, Wilmington, DE; Adam H. Offenhartz, Gibson, Dunn & Crutcher LLP, New York, NY; Tyler H. Amass, Gibson, Dunn & Crutcher LLP, Denver, CO for appellees.

    Case Number: D69883

    Chancery court properly granted corporation's special litigation committee's motion to dismiss derivative claims, where there was not sufficient evidence to raise a material dispute regarding the independence of the SLC or the reasonableness of the findings of the SLC's investigation into the claims.

  • In re Carvana Co. Stockholders Litig.

    Publication Date: 2022-07-12
    Practice Area: Corporate Governance
    Industry: Automotive | E-Commerce | Investments and Investment Advisory
    Court: Court of Chancery
    Judge: Chancellor McCormick
    Attorneys: For plaintiff: Nathan A. Cook, Block & Leviton LLP, Wilmington, DE; Christine M. Mackintosh, Rebecca A. Musarra, Grant & Eisenhofer P.A., Wilmington, DE; Ned Weinberger, Labaton Sucharow LLP, Wilmington, DE; Jason M. Leviton, Joel A. Fleming, Lauren Godles Milgroom, Amanda R. Crawford, Block & Leviton LLP, Boston, MA; Domenico Minerva, John Vielandi, David MacIsaac, Labaton Sucharow LLP, New York, NY for plaintiffs.
    for defendant: David E. Ross, Adam D. Gold, R. Garrett Rice, Ross Aronstam & Moritz LLP, Wilmington, DE; Brian M. Lutz, Gibson, Dunn & Crutcher LLP, San Francisco, CA; Colin B. Davis, Katie Beaudin, Gibson, Dunn & Crutcher LLP, Irvine, CA; John L. Reed, Ronald N. Brown, III, Peter H. Kyle, Kelly L. Freund, DLA Piper LLP (US), Wilmington, DE for defendants.

    Case Number: D69879

    Stockholders sufficiently pled director conflict and lack of independence by alleging numerous personal and professional ties stretching back decades between the directors and the company's controlling family.

  • Wildfire Prods., LP v. Team Lemieux LLC

    Publication Date: 2022-07-12
    Practice Area: Corporate Governance
    Industry: Entertainment and Leisure
    Court: Court of Chancery
    Judge: Vice Chancellor Fioravanti
    Attorneys: For plaintiff: Jon E. Abramczyk, Sabrina M. Hendershot, Morris, Nichols, Arsht & Tunnell LLP, Wilmington, DE; Daniel H. Shapira, Robert M. Barnes, Daniel J. Stuart, Marcus & Shapira LLP, Pittsburgh, PA for plaintiff.
    for defendant: Kurt M. Heyman, Jamie L. Brown, Heyman Enerio Gattuso & Hirzel LLP, Wilmington, DE; Patricia L. Glaser, Craig H. Marcus, Nathaniel Wright, Glaser Weil Howard Avchen & Shapiro LLP, Los Angeles, CA for defendants.

    Case Number: D69882

    Professional sports league constitution required arbitration of ownership interest disputes before the league commissioner, and was not superseded by the team owners' partnership agreement since the league was not a party to that partnership agreement.

  • Parseghian v. Frequency Therapeutics, Inc.

    Publication Date: 2022-07-05
    Practice Area: Corporate Governance
    Industry: Biotechnology | Investments and Investment Advisory
    Court: Court of Chancery
    Judge: Vice Chancellor Fioravanti
    Attorneys: For plaintiff: Samuel T. Hirzel, II, Jamie L. Brown, Heyman Enerio Gattuso & Hirzel LLP, Wilmington, DE; Adam C. Ford, Matthew A. Ford, Ford O’Brien, LLP, New York, NY for plaintiffs.
    for defendant: Elena C. Norman, Young Conaway Stargatt & Taylor LLP, Wilmington, DE; Deborah S. Birnbach, Jennifer Burns Luz, Matthew T. White, Goodwin Proctor LLP, Boston, MA; Kevin R. Shannon, Jaclyn C. Levy, Callan R. Jackson, Potter Anderson & Corroon LLP, Wilmington, DE; Seth Goldman, Jacob H. Hupart, Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C., New York, NY for defendants.

    Case Number: D69871

    Breach of fiduciary duty claim against company CEO dismissed where there were no factual allegations regarding the actual steps the CEO purportedly took to block plaintiff stockholders' efforts to sell their shares or that the CEO was even aware plaintiffs were seeking to transfer their stock.

  • Stream TV Networks, Inc. v. SeeCubic, Inc.

    Publication Date: 2022-06-28
    Practice Area: Corporate Governance
    Industry: Investments and Investment Advisory | Technology Media and Telecom
    Court: Delaware Supreme Court
    Judge: Justice Valihura
    Attorneys: For plaintiff: Andrew S. Dupre, Brian R. Lemon, Steven P. Wood, Sarah E. Delia, Stephanie H. Dallaire, McCarter & English, LLP, Wilmington, DE for appellants.
    for defendant: Robert S. Saunders, Jenness E. Parker, Bonnie W. David, Lilianna Anh P. Townsend, Trevor T. Nielson, Skadden, Arps, Slate, Meagher & Flom LLP, Wilmington, DE; Eben P. Colby, Marley Ann Brumme, Skadden, Arps, Slate, Meagher & Flom LLP, Boston, MA for appellee.

    Case Number: D69864

    Board committee action approving omnibus agreement moving company's assets into a "NewCo" was invalid where company's charter required approval of one class of shareholders for "asset transfers."

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  • In re Vaxart, Inc. Stockholder Litig.

    Publication Date: 2022-06-21
    Practice Area: Corporate Governance
    Industry: Pharmaceuticals
    Court: Court of Chancery
    Judge: Vice Chancellor Fioravanti
    Attorneys: For plaintiff: Stephen E. Jenkins, F. Troupe Mickler, IV, Ashby & Geddes, P.A., Wilmington, DE; Gregory V. Varallo, Bernstein Litowitz Berger & Grossmann LLP, Wilmington, DE; Jeroen van Kwawegen, Daniel E. Meyer, Margaret Sanborn-Lowing, Bernstein Litowitz Berger & Grossmann LLP, New York, NY; Gustavo F. Bruckner, Samuel J. Adams, Daryoush Behbood, Pomerantz LLP, New York, NY; Sascha N. Rand, Rollo C. Baker, IV, Silpa Maruri, Jesse Bernstein, Charles H. Sangree, Quinn Emanuel Urquhart & Sullivan, LLP, New York, NY; Stanley D. Bernstein, Matthew Guarnero, Bernstein Liebhard LLP, New York, NY; William J. Fields, Christopher J. Kupka, Samir Shukurov, Fields Kupka & Shukurov LLP, New York, NY for plaintiffs.
    for defendant: Brock E. Czeschin, Andrew L. Milam, Richards Layton & Finger, P.A., Wilmington, DE; Riccardo DeBari, Renee Zaytsev, Thompson Hine, New York, NY; Matthew F. Davis, Abraham C. Schneider, Potter Anderson & Corroon LLP, Wilmington, DE; Douglas A. Rappaport, Kaitlin D. Shapiro, Elizabeth C. Rosen, Madeleine R. Freeman, Akin Gump Strauss Hauer & Feld LLP, New York, NY for defendants.

    Case Number: D69856

    Company's selection to a primate study of its proposed vaccine did not constitute material information to the stockholders' approval of amendments to the equity incentive plan that allowed directors to issue themselves options.

  • In re Geron Corp. Stockholder Derivative Litig.

    Publication Date: 2022-06-21
    Practice Area: Corporate Governance
    Industry: Biotechnology | Pharmaceuticals
    Court: Court of Chancery
    Judge: Vice Chancellor Glasscock
    Attorneys: For plaintiff: P. Bradford deLeeuw, deLeeuw Law LLC, Wilmington, DE; Kip B. Shuman, Shuman, Glenn & Stecker, San Francisco, CA; Rusty E. Glenn, Shuman, Glenn & Stecker, Denver, CO; Brett D. Stecker, Shuman, Glenn & Stecker, Ardmore, PA; Brian J. Robbins, Craig W. Smith, Shane P. Sanders, Emily R. Bishop, Robbins LLP, San Diego, CA; Richard A. Maniskas, RM Law, P.C., Berwyn, PA for plaintiffs.
    for defendant: D. McKinley Measley, Sarah P. Kaboly, Morris, Nichols, Arsht & Tunnell LLP, Wilmington, DE; Brett De Jarnette, John C. Dwyer, Cooley LLP, Palo Alto, CA; Ryan E. Blair, Cooley LLP, San Diego, CA for defendants.

    Case Number: D69855

    Although plaintiff shareholders' failure of oversight claim was likely to be subsumed by their fraudulent/misleading disclosure claim, the court stayed the action pending the outcome of a related securities action in another jurisdiction that would likely resolve genuine issues of material fact in the present case.

  • In re Global Discovery Biosciences Corp.

    Publication Date: 2022-06-14
    Practice Area: Corporate Governance
    Industry: Biotechnology
    Court: Court of Chancery
    Judge: Vice Chancellor Glasscock
    Attorneys: For plaintiff: Stephen C. Norman, David A. Seal, Potter Anderson & Corroon LLP, Wilmington, DE; Eric Landau, Travis Biffar, Ellenoff Grossman & Schole LLP, Irvine, CA for petitioners.
    for defendant: Corinne E. Amato, Mary S. Thomas, John G. Day, Christine N. Lafferty, Prickett, Jones & Elliott, P.A., Wilmington, DE; Marc P. Miles, Kristy A. Schlesinger, Shook, Hardy & Bacon L.L.P., Irvine, CA for respondent.

    Case Number: D69846

    Court affirmed validity of stockholder consent where evidence was insufficient to establish that purported equity issuances were valid and therefore diluted the ownership interest of the stockholders voting in favor of the consent.

  • Oklahoma Firefighters Pension & Ret. Sys. v. Amazon.com, Inc.

    Publication Date: 2022-06-14
    Practice Area: Corporate Governance
    Industry: E-Commerce | Investments and Investment Advisory
    Court: Court of Chancery
    Judge: Vice Chancellor Will
    Attorneys: For plaintiff: Blake A. Bennet, Cooch and Taylor, P.A., Wilmington, DE; Geoffrey M. Johnson, Scott+Scott Attorneys at Law LLP, Cleveland Heights, OH; Donald A. Broggi, Scott R. Jacobsen, Scott+Scott Attorneys at Law LLP, New York, NY for plaintiff.
    for defendant: Kevin R. Shannon, Berton W. Ashman, Jr., Mathew A. Golden, Potter Anderson & Corroon LLP, Wilmington, DE; William Savitt, Anitha Reddy, Adam M. Gogolak, Corey J. Banks, Zachary M. David, Wachtell, Lipton, Rosen & Katz, New York, NY for defendant.

    Case Number: D69849

    Plaintiff's request for additional books and records denied where it had failed to produce evidence permitting an inference that defendant corporation was engaged in antitrust and tax law violations, such that plaintiff's request merely constituted an improper fishing expedition.

  • Schoenmann v. Irvin

    Publication Date: 2022-06-14
    Practice Area: Corporate Governance
    Industry: Manufacturing | Technology Media and Telecom
    Court: Court of Chancery
    Judge: Vice Chancellor Glasscock
    Attorneys: For plaintiff: Stacey A. Scrivani, Stevens & Lee, P.C., Wilmington, DE for plaintiff.
    for defendant: Joanna J. Cline, Christopher B. Chuff, Emily L. Wheatley, Troutman Pepper Hamilton Sanders LLP, Wilmington, DE for defendants.

    Case Number: D69850

    Direct corporate claims were equitably tolled under statute of limitations where plaintiff, who had superior information rights as member and manager, sufficiently alleged that controller had intentionally manipulated operations and financial records to conceal misconduct.