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Delaware Chancery Court Warns Corporations About Debt Agreements That Violate Stockholders' Rights
A recent Delaware Court of Chancery decision instructing Delaware corporations not to ink debt agreements that violate stockholders' rights to nominate new directors is likely to generate attorney scrutiny of corporate debt agreements. The decision, which is on appeal at the Delaware Supreme Court, dismissed a claim that the directors breached their duty of care partly because outside counsel created the indenture agreement, but warned that such provisions might be "unenforceable as against public policy."Trending Stories
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Good Legal Technology is Good Business: A Case for Bringing Employment Issues In-House
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