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Solak v. Mountain Crest Capital: fiduciary duties claims abound for SPAC sponsors and directors

In Solak v. Mountain Crest Capital, the Delaware Court of Chancery found that a stockholder plaintiff pleaded a viable breach of fiduciary duty claim based on an alleged failure of the board of directors of a SPAC to disclose...more

Federal district court denies Target’s motion to dismiss securities claims related to one of its ESG and DEI Initiatives

In Craig v. Target Corporation, et al., the District Court for the Middle District of Florida considered whether Target Corporation (Target) committed securities violations by failing to disclose risks related to an ESG and...more

Tenth Circuit affirms dismissal of short seller’s claims against Overstock

On October 15, 2024, the United States Court of Appeals for the Tenth Circuit issued an opinion in In re Overstock Securities Litigation affirming the District of Utah’s dismissal of putative class action claims under the...more

BuzzFeed II: Court enforces arbitration clauses in employment agreements with pre-SPAC entity

In BuzzFeed Media Enterprises, Inc. v. Anderson, No. 2023-0377, 2024 WL 2187054 (Del. Ch. May 15, 2024) (BuzzFeed II), the Delaware Court of Chancery held that BuzzFeed Media Enterprises (BME) was bound by arbitration...more

Delaware Court of Chancery dismisses “De-SPAC” merger claims at motion to dismiss stage

In In re Hennessy Capital Acquisition Corp. IV Stockholder Litigation, the Delaware Court of Chancery for the first time dismissed breach of fiduciary duty claims against directors involved in a merger with a special purpose...more

New Enterprise Associates: Stockholders’ advance waiver of fiduciary duty claims is enforceable

In New Enterprise Associates 14. v. Rich, the court held that a covenant not to sue in a voting agreement executed by sophisticated stockholders was facially enforceable even though it limited claims for breach of fiduciary...more

Quarterly Corporate / M&A Decisions Update: Q4 2018

This update is designed to highlight selected important M&A, corporate and commercial court decisions on a quarterly basis. The update contains brief summaries of each decision with links to more robust discussions. ...more

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