• Sylebra Capital Partners Master Fund, Ltd. v. Perelman

    Publication Date: 2020-10-28
    Practice Area: Corporate Governance
    Industry: Entertainment and Leisure | Investments and Investment Advisory
    Court: Court of Chancery
    Judge: Vice Chancellor Slights
    Attorneys: For plaintiff: Samuel T. Hirzel II, Gillian L. Andrews, Heyman Enerio Gattuso & Hirzel LLP, Wilmington, DE; Patrick J. Smith, Andrew J. Rodgers, Nicholas J. Karasimas, Smith Villazor LLP, New York, NY for plaintiffs.
    for defendant: William M. Lafferty, Susan W. Waesco, Alexandra M. Cumings, Morris, Nichols, Arsht & Tunnell LLP, Wilmington, DE; Kevin J. Orsini, Rory A. Leraris, Cravath, Swaine & Moore LLP, New York, NY for defendants.

    Case Number: D69171

    The court dismissed plaintiff's complaint because the company's bylaws contained a mandatory forum selection provision in favor of another state.

  • Berhmann v. Brandt

    Publication Date: 2020-10-21
    Practice Area: Corporate Governance
    Industry: Health Care | Manufacturing
    Court: U.S. District Court of Delaware
    Judge: District Judge Andrews
    Attorneys: For plaintiff: Ryan M. Ernst, O’Kelly Ernst & Joyce, LLC, Wilmington, DE; Thomas J. McKenna, Gregory M. Egleston, Gainey McKenna & Egleston, New York, NY for plaintiffs.
    for defendant: Paul J. Lockwood, Jenness E. Parker, Veronica B. Bartholomew, Skadden, Arps, Slate, Meagher & Flom, LLP, Wilmington, DE for defendants.

    Case Number: D69158

    Dismissal of derivative complaint for failure to adequately plead demand futility and failure to state a claim granted without prejudice, where plaintiffs were given leave to move to amend their complaint and assert amendments and additional allegations that would cure the pleading deficiencies of their complaint.

  • Lacey v. Mota-Velasco

    Publication Date: 2020-10-21
    Practice Area: Corporate Governance
    Industry: Investments and Investment Advisory | Mining and Resources
    Court: Court of Chancery
    Judge: Vice Chancellor Glasscock
    Attorneys: For plaintiff: Peter B. Andrews, Craig J. Springer, David Sborz, Andrews & Springer LLC, Wilmington, DE; Jeremy S. Friedman, Spencer Oster, David F.E. Tejtel, Friedman Oster & Tejtel PLLC, Bedford Hills, NY for plaintiff.
    for defendant: William M. Lafferty, John P. Ditomo, Elizabeth A. Mullin, Morris, Nichols, Arsht & Tunnel LLP, Wilmington, DE; Bradley J. Benoit, Bryan Dumesnil, Bracewell LLP, Houston, TX; Ralph D. McBride, Houston, TX; Srinivas M. Raju, Andrew J. Peach, Matthew W. Murphy, Richards Layton & Finger, P.A., Wilmington, DE; Steven R. Selsberg, S. Selsberg Law, P.L.L.C., Houston, TX; Sylvai A. Mayer, S. Mayer Law PLLC, Houston, TX; Peter J. Walsh, Jr., Matthew F. Davis, Elizabeth M. Taylor, Potter Anderson & Corroon LLP, Wilmington, DE; Robert J. Giuffra, Jr., David M.J. Rein, Matthew A. Peller, Y Carson Zhou, Sullivan & Cromwell LLP, New York, NY for defendants.

    Case Number: D69164

    The court granted a motion to dismiss as to a foreign defendant due to lack of personal jurisdiction, because plaintiff failed to allege any acts in Delaware which were in furtherance of a conspiracy.

  • In re: TrueCar, Inc. Stockholder Derivative Litig.

    Publication Date: 2020-10-14
    Practice Area: Corporate Governance
    Industry: Automotive | E-Commerce | Investments and Investment Advisory
    Court: Court of Chancery
    Judge: Chancellor Bouchard
    Attorneys: For plaintiff: Thomas A. Uebler, Jeremy J. Riley, McCollom D’emilio Smith Uebler LLC, Wilmington, DE; P. Bradford deLeeuw, Deleeuw Law LLC, Wilmington, DE; Melinda A. Nicholson, Nicolas Kravitz, Eda Ayrim Walker, Kahn Swick & Foti, LLC, New Orleans, LA; Ashley R. Rifkin, Steven R. Wedeking, Robbins LLP, San Diego, CA; Jeffrey S. Abraham, Michael J. Klein, Abraham, Fruchter & Twersky, LLP, New York, NY for plaintiffs.
    for defendant: Shannon E. German, Wilson Sonsini Goodrich & Rosati, P.C., Wilmington, DE; Jerome F. Birn, Jr., Catherine Moreno, Wilson Sonsini Goodrich & Rosati, P.C., Palo Alto, CA; Gregory P. Williams, Brock E. Czeschin, Kevin M. Regan, Richards, Layton & Finger, P.A., Wilmington, DE; Albert H. Manwaring, IV, Albert J. Carroll, Morris James LLP, Wilmington, DE; Brian Michael Lutz, Michael J. Kahn, Gibson, Dunn & Crutcher LLP, San Francisco, CA; Jon E. Abramczyk, Ryan D. Stottmann, Morris, Nichols, Arsht & Tunnell LLP, Wilmington, DE; Jon E. Abramczyk, Ryan D. Stottmann, Morris, Nichols, Arsht & Tunnell LLP, Wilmington, DE; Ralph C. Ferrara, Ann M. Ashton, Proskauer Rose LLP, Washington, DC; Julia D. Alonzo, Proskauer Rose LLP, New York, NY for defendants.

    Case Number: D69152

    Stockholders' derivative action dismissed for failure to make litigation demand where plaintiffs failed to plead facts showing that directors faced reasonable risk of liability from the derivative action and thus could not impartially consider a litigation demand.

  • Rudd v. Brown

    Publication Date: 2020-09-30
    Practice Area: Corporate Governance
    Industry: Investments and Investment Advisory
    Court: Court of Chancery
    Judge: Vice Chancellor Zurn
    Attorneys: For plaintiff: Blake A. Bennett, Cooch and Taylor, P.A., Wilmington, DE; Lawrence P. Eagel, W. Scott Holleman, Garam Choe, Bragar Eagel & Squire, P.C., New York, NY for plaintiff.
    for defendant: Daniel A. Mason, Brendan W. Sullivan, Paul, Weiss, Rifkind, Wharton & Garrison LLP, Wilmington, DE; Lewis R. Clayton, Robert N. Kravitz, Harris Fischman, Paul, Weiss, Rifkind, Wharton & Garrison LLP, New York, NY; Ashley R. Altschuler, Ethan H. Townsend, McDermott Will & Emery LLP, Wilmington, DE; Jeffrey M. Reisner, Jason D. Strabo, Paul Ferrillo, McDermott Will & Emery LLP, Los Angeles, CA for defendants.

    Case Number: D69138

    The court dismissed plaintiff's complaint for breach of fiduciary duty because the corporate charter contained an exculpatory clause, and plaintiff failed to plead facts making it reasonably conceivable that any of the defendants were conflicted.

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  • In re Nat'l Collegiate Student Loan Trusts Litig.

    Publication Date: 2020-09-16
    Practice Area: Corporate Governance
    Industry: Financial Services and Banking
    Court: Court of Chancery
    Judge: Vice Chancellor Slights
    Attorneys: For plaintiff: Garrett B. Moritz, Benjamin Z. Grossberg, and S. Reiko Rogozen, Ross Aronstam & Moritz LLP, Wilmington, DE; Kimberly A. Evans and Rebecca A. Musarra, Grant & Eisenhofer P.A., Wilmington, DE; Lance Gotthoffer, Chaitman, LLP, New York, NY; Catherine A. Gaul, Ashby & Geddes, P.A., Wilmington, DE; Michael Hanin and Uri Itkin, Kasowitz Benson Torres LLP, New York, NY; John W. Shaw and Jeffrey T. Castellano, Shaw Keller LLP, Wilmington, DE; Matthew A. Martel, Joseph B. Sconyers, Keith M. Kollmeyer, and Anthony M. Masero, Jones Day, Boston, MA for plaintiffs.
    for defendant: Kurt M. Heyman and Melissa N. Donimirski, Enerio Gattuso & Hirzel LLP, Wilmington, DE; Erik Haas, Joshua Kipnees, George A. LoBiondo, Jared Buszin, Peter Shakro, Devon Hercher, and Jonah Wacholder, Patterson Belknap Webb & Tyler LLP, New York, NY; Jason C. Jowers, Stephen B. Brauerman, Brett M. McCartney, and Elizabeth A. Powers, Bayard, P.A., Wilmington, DE; Rebecca L. Butcher and Jennifer L. Cree, Landis Rath & Cobb LLP, Wilmington, DE; John P. Doherty and William Hao, Alston & Bird LLP, New York, NY; Stacey A. Scrivani, Stevens & Lee, P.C., Wilmington, DE for defendants.

    Case Number: D69120

    Because a precautionary security interest could be created simultaneously with the assignment of pledged collateral, indentured parties who received the assignment granted them the beneficial interests of the property, such that the owners of the trusts that acquired the property owed the indentured parties fiduciary duties through the owners' control over the trusts.

  • Teamsters Local 443 Health Serv. & Ins. Plan v. Chou

    Publication Date: 2020-09-09
    Practice Area: Corporate Governance
    Industry: Investments and Investment Advisory | Pharmaceuticals
    Court: Court of Chancery
    Judge: Vice Chancellor Glasscock
    Attorneys: For plaintiff: Ned Weinberger, Mark D. Richardson and David MacIsaac, Labaton Sucharow LLP, Wilmington, DE and New York, NY; Christine M. Mackintosh and Rebecca Musarra, Grant & Eisenhofer P.A., Wilmington, DE; David Wales and Christopher J. Orrico, Bernstein Litowitz Berger & Grossmann LLP, New York, NY; Frank Schirripa, Hach Rose Schirripa & Cheverie LLP, New York, NY; Nathaniel L. Orenstein and Nicole Lavallee, Berman Tabacco, Boston, MA and San Francisco, CA for plaintiffs.
    for defendant: Stephen C. Norman, Jennifer C. Wasson and Tyler J. Leavengood, Potter Anderson & Corroon LLP, Wilmington, DE; Michael D. Blanchard, Andrew M. Buttaro and Amelia Pennington, Morgan, Lewis & Bockius LLP, Boston, MA for defendants and nominal defendant.

    Case Number: D69115

    Demand was futile in this derivative action, and plaintiffs had alleged sufficient facts to support their claims for oversight liability.

  • In re WeWork Litig.

    Publication Date: 2020-09-02
    Practice Area: Corporate Governance
    Industry: Investments and Investment Advisory | Real Estate
    Court: Court of Chancery
    Judge: Chancellor Bouchard
    Attorneys: For plaintiff: William B. Chandler III, Brad D. Sorrels, Lori W. Will, Lindsay Kwoka Faccenda, Leah E. Brenner, and Jeremy W. Gagas, Wilson Sonsini Goodrich & Rosati, P.C., Wilmington, DE; Michael S. Sommer, Wilson Sonsini Goodrich & Rosati, P.C., New York, NY; David J. Berger, Steven M. Guggenheim, and Dylan G. Savage, Wilson Sonsini Goodrich & Rosati, P.C., Palo Alto, CA; William M. Lafferty, Kevin M. Coen, Sabrina M. Hendershot, and Sara Toscano, Morris, Nichols, Arsht & Tunnell LLP, Wilmington, DE; Eric Seiler, Philippe Adler, and Mala Ahuja Harker, Friedman Kaplan Seiler & Adelman LLP, New York, NY; William Christopher Carmody, Shawn J. Rabin, and Arun Subramanian, Susman Godfrey L.L.P., New York, NY for plaintiffs.
    for defendant: Robert S. Saunders and Sarah R. Martin, Skadden, Arps, Slate, Meagher & Flom LLP, Wilmington, DE; George A. Zimmerman, Skadden, Arps, Slate, Meagher & Flom LLP, New York, NY; Elena C. Norman, Rolin P. Bissell, and Nicholas J. Rohrer, Young Conaway Stargatt & Taylor, LLP, Wilmington, DE; Erik J. Olson, Morrison & Foerster LLP, Palo Alto, CA; James Bennett and Jordan Eth, Morrison & Foerster LLP, San Francisco, CA; Michael A. Barlow and E. Wade Houston, Abrams & Bayliss LLP, Wilmington, DE; John B. Quinn and Molly Stephens, Quinn Emanuel Urquhart & Sullivan, LLP, Los Angeles, CA for defendants.

    Case Number: D69102

    Corporation could not bar specific directors from privileged information provided to the corporation as the director's management authority rendered it a joint client of the corporation and its board.

  • In re Coty Inc. Stockholder Litig.

    Publication Date: 2020-09-02
    Practice Area: Corporate Governance
    Industry: Consumer Products
    Court: Court of Chancery
    Judge: Chancellor Bouchard
    Attorneys: For plaintiff: Ned Weinberger, Labaton Sucharow LLP, Wilmington, DE; John Vielandi and David MacIsaac, Labaton Sucharow LLP, New York, NY; Joel Friedlander, Jeffrey M. Gorris and Christopher P. Quinn, Friedlander & Gorris, P.A., Wilmington, DE; Jeremy S. Friedman and David F.E. Tejtel, Friedman Oster & Tejtel PLLC, Bedford Hills, NY; D. Seamus Kaskela, Kaskela Law LLC, Newtown Square, PA for plaintiffs.
    for defendant: Kevin R. Shannon, J. Matthew Belger and Nicholas D. Mozal of Potter Anderson & Corroon LLP, Wil-mington, DE; Gregory P. Williams, Raymond J. DiCamillo, Angela Lam and Kevin M. Regan, Richards Layton & Finger, P.A, Wilmington, DE; James W. Ducayet, Nilofer Umar, Benjamin Friedman and Zarine Alam, Sidley Austin LLP, Chicago, IL; Paul J. Lockwood, Alyssa S. O’Connell and Bonnie W. David, Skadden, Arps, Slate, Meagher & Flom LLP, Wilmington, DE; Lauren E. Aguiar, Skadden, Arps, Slate, Meagher & Flom LLP, New York, NY; Patricia L. Enerio and Aaron M. Nelson, Heyman Enerio Gattuso & Hirzel LLP, Wilmington, DE for defendants and nominal defendant.

    Case Number: D69105

    Stockholder alleged sufficient facts to support their claims for breach of contract and breach of fiduciary duty, so the court denied defendants' motion to dismiss.

  • In re MetLife, Inc. Derivative Litig.

    Publication Date: 2020-09-02
    Practice Area: Corporate Governance
    Industry: Insurance
    Court: Court of Chancery
    Judge: Vice Chancellor Glasscock
    Attorneys: For plaintiff: Kurt M. Heyman and Gillian L. Andrews, Heyman Enerio Gattuso & Hirzel LLP, Wilmington, DE; Gustavo F. Bruckner and Samuel J. Adams, Pomerantz LLP, New York, NY; Blake A. Bennett, Cooch and Taylor, P.A., Wilmington, DE; Lee Squitieri, Squitieri & Fearon, LLP, New York, NY; James S. Notis and Jennifer Sarnelli, Gardy & Notis, LLP, New York, NY for plaintiffs.
    for defendant: Raymond J. DiCamillo and Brian S. Yu, Richards, Layton & Finger, P.A., Wilmington, DE; Maeve O’Connor, Elliot Greenfield, Michael W. Gramer and Catherine Walsh, Debevoise & Plimpton LLP, New York, NY for defendants and nominal defendant.

    Case Number: D69106

    Plaintiffs failed to demonstrate demand futility in this action for breach of fiduciary duty, so the court granted defendants' motion to dismiss.