A plaintiff in Delaware still has to show a board's systemic oversight failure and knowledge of red flags to move forward with a Caremark claim.
October 07, 2021 at 02:27 PM
3 minute read
The original version of this story was published on Delaware Business Court Insider
A shareholder’s case against Marriott International Inc. has become the first in the Court of Chancery to be dismissed entirely based on the new standardized three-part test to check demand futility.
The case is the second in which the Court of Chancery has applied the test, established two weeks ago in a derivative case against Facebook and its board members and expected to simplify the process significantly.
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Vice Chancellot Lori W. Will of the Delaware Court of Chancery. Courtesy Photo
