A law firm can be sued for preparing a misleading proxy statement for a corporate client that had to pay more than $30 million to minority shareholders as a result, a federal appeals court ruled on Monday.
The Third U.S. Circuit Court of Appeals reversed a district judge who found the proxy could not have been the proximate cause of the client’s damages because the client’s liability was predicated on an independent duty to compensate its shareholders.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]