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Controlling Stockholders Delaware Derivative Suit

Cadwalader, Wickersham & Taft LLP

Delaware Supreme Court Rejects Total Rescission of Musk Pay

On December 19, 2025, the Delaware Supreme Court overturned the rescission of Elon Musk’s 2018 Tesla compensation grant and instead awarded nominal damages and substantially reduced attorneys’ fees. The case stemmed from a...more

A&O Shearman

Delaware Supreme Court Upholds Award Of Nominal Damages To Plaintiffs Unharmed By Unfair Conflicted Controller Transaction

A&O Shearman on

On December 3, 2025, Chief Justice Collins Seitz, on behalf of the Delaware Supreme Court sitting en banc, upheld the Court of Chancery’s award of nominal damages in an action against a conflicted controller for breach of his...more

Akin Gump Strauss Hauer & Feld LLP

Delaware Supreme Court Affirms Chancery Court’s Dismissal in Trade Desk Derivative Suit

On November 6, 2025, the Delaware Supreme Court affirmed the Court of Chancery’s dismissal of a shareholder derivative suit challenging a substantial stock option grant awarded to the co-founder and CEO of The Trade Desk,...more

Akin Gump Strauss Hauer & Feld LLP

Delaware Supreme Court Hears Constitutional Challenge to SB 21: What Boards and Counsel Need to Know

On November 5, 2025, the Delaware Supreme Court heard oral argument in a case that could reshape Delaware’s corporate law landscape. At issue is Senate Bill 21 (SB 21)—a sweeping amendment to the Delaware General Corporation...more

Morris James LLP

Court of Chancery Dismisses Statutory and Fiduciary Duty Claims Arising Out of a Foreclosure Sale

Morris James LLP on

When a creditor who also owns significant equity exercises rights to foreclose because the debtor company is unable to meet its debt obligations, issues can arise as to whether the creditor/stockholder owes fiduciary duties...more

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