Though Brocade Communications agreed on Monday to fork over a record $160 million to settle a civil backdating class action, Larry Sonsini isn’t quite in the clear.
The company-funded deal releases Sonsini, former Brocade director and outside counsel at Wilson Sonsini Goodrich Rosati, from liability in the securities class action. But a derivative suit that had once been close to settlement lives on, and now, a Brocade special litigation committee spawned by that lawsuit could recommend claims against the company’s former executives — and its professional advisers.
