News & Analysis as of

Shareholder Litigation Coronavirus/COVID-19

Fox Rothschild LLP

In the Boardroom With Resnick and Fuller - Episode 1

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A podcast series in collaboration with PLUS, the Professional Liability Underwriting Society. Episode One Resnick and Fuller focus on two shareholder lawsuits that illustrate the impact of COVID on the responsibilities of...more

A&O Shearman

Southern District Of New York Dismisses Putative Class Action Against Pharmaceutical Company For Failure To Adequately Allege...

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On September 12, 2022, Judge J. Paul Oetken of the United States District Court for the Southern District of New York dismissed with prejudice a putative class action asserting claims under the Securities Exchange Act of 1934...more

Goodwin

Delaware Federal Court Dismisses Shareholder Derivative Suit Concerning Lack of Board Diversity

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Delaware Federal Court Dismisses Shareholder Derivative Suit Concerning Lack of Board Diversity; California Federal Court Dismisses Shareholder Class Action Against Sorrento Therapeutics Regarding COVID-19 Treatment; Delaware...more

A&O Shearman

Delaware Court Of Chancery Dismisses Derivative Claims Challenging A Convertible Debt Issuance At The Onset Of The COVID-19...

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On November 23, 2021, Vice Chancellor Sam Glasscock III of the Delaware Court of Chancery dismissed stockholder derivative claims for breach of fiduciary duty against the directors of Wayfair, Inc. (the “Company”). ...more

Proskauer - Corporate Defense and Disputes

A New Strain of COVID-19 Shareholder Suit

While we are growing accustomed to pandemic-based shareholder actions relating to improper health and safety disclosures or misrepresentations relating to COVID-19 treatments and tests, this month brings a novel variant of...more

Ballard Spahr LLP

Shareholder Derivative Suits – The Next Wave of COVID-19 Litigation?

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The COVID-19 pandemic has led to a variety of claims brought by employees, as well as government enforcement actions. Recently-filed cases are taking a new tack; shareholders are bringing derivative suits and securities...more

Hogan Lovells

Quarterly Corporate / M&A Decisions Update: Q4 2020

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Below is our Quarterly Corporate / M&A Decisions Update for decisions in Q4 2020. This update is designed to highlight selected important M&A, corporate, and commercial court decisions on a quarterly basis. Brief summaries of...more

Morrison & Foerster LLP

ISS Provides A Roadmap For The 2021 Proxy Season

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Institutional Shareholder Services (ISS) has recently provided guidance outlining its approach to proxy voting advice for the 2021 proxy season. ISS adopted updates to its Benchmark Proxy Voting Guidelines (Voting Policy),...more

Fenwick & West LLP

ISS Policy Changes for 2021: Increased Expectations for Diversity and Accountability

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Institutional Shareholder Services (ISS) announced benchmark voting policy changes in the United States, increasing expectations for board racial and ethnic diversity, adding director accountability for environmental and...more

BCLP

COVID-19: High court issues preliminary ruling on interpretation of Material Adverse Effect clause

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In a dispute between WEX (Inc.) (“WEX”) and the shareholders (the “Sellers”) of eNett International (Jersey) Limited (“eNett”) and Optal Limited (“Optal”), following an expedited trial on a number of preliminary issues, the...more

Skadden, Arps, Slate, Meagher & Flom LLP

Shareholder Derivative Suits Likely To Extend to COVID-19, Racial Equality

As the last few years have shown, shareholder derivative litigation — claims brought by a shareholder purportedly on behalf of a company against its board of directors or senior management for alleged breaches of fiduciary...more

Sheppard Mullin Richter & Hampton LLP

Using “Prospective Hindsight” To Identify And Mitigate Risks During A Crisis

In 1657, mathematician Blaise Pascal commented in a letter to his church leaders “I have made this longer than usual because I did not have time to make it shorter.” More than 100 years later, another Frenchman, Napoleon...more

Dechert LLP

Asset Management Litigation/Enforcement Flash Report

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Especially in today’s economic and work environment, we find it helpful – and we therefore thought our clients would also find it helpful – to keep track of the important litigation and regulatory enforcement developments...more

Skadden, Arps, Slate, Meagher & Flom LLP

Q&A: Directors’ Delaware Law Questions During the Pandemic

Skadden partner Edward Micheletti, who heads the litigation practice of the firm’s Wilmington office, answers common Delaware law questions facing boards of directors during the COVID-19 crisis....more

Robins Kaplan LLP

What Now? Addressing A Crisis Of Complexity Resulting From A Hardening D&O Insurance Market

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Following several quarters of double-digit rate hikes and increased retentions, the hardening marketing for directors and officers (D&O) liability insurance is adjusting to a “new normal” of increasing exposures, claims, and...more

Orrick, Herrington & Sutcliffe LLP

Securities and Other Shareholder Litigation in the Wake of COVID-19

The current bear market began only a month ago and the securities plaintiffs’ bar wasted no time bringing its first set of actions. The stock market decline caused by COVID-19 has led to economic conditions this country has...more

Spilman Thomas & Battle, PLLC

The REAL Trending Litigation Topics Regarding COVID-19

A trend is emerging with recently filed litigation involving the COVID-19 pandemic. We are committed to providing information that allows businesses to react as quickly as possible to avert civil litigation threats or to...more

Morrison & Foerster LLP

The Potential Impact Of The Coronavirus (COVID-19) Pandemic On Hostile M&A and Shareholder Activism In The U.S.

Over the last month, each of the major stock market indices has experienced extreme volatility and a broad-based decline in value, largely in response to the coronavirus pandemic. The bellwether Dow Jones Industrial Average...more

Foley & Lardner LLP

Securities Class Action Lawsuits Related to Coronavirus Begin

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Where markets fall precipitously, “stock-drop” lawsuits are sure to follow. Impacts of COVID-19 present the classic event-driven drop in stock price that is often the target of shareholder lawsuits. Thus far, the plaintiffs’...more

Foley & Lardner LLP

How Corporate Officers and Directors Can Mitigate Future Shareholder Disputes

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The response to the coronavirus pandemic is truly unprecedented. No company or board could anticipate that local, state, and federal officials would take draconian action like shutting down schools, restaurants, bars, and...more

Rivkin Radler LLP

Possible Pandemic, Coronavirus Poised to Pose Risks to U.S. Companies

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With the coronavirus outbreak continuing in China, significant new incidences being reported in South Korea and Italy, and stories of quarantines permeating the news, in addition to the catastrophic toll on human health, we...more

Robins Kaplan LLP

Financial Daily Dose 2.26.2020 | Top Story: CDC Warning About COVID-19 in the US Sends Stocks Tumbling Again

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A stark warning from the Centers for Disease Control that Americans should prepare for a COVID-19 outbreak sent stocks tumbling again on Tuesday, with the S&P 500 closing down 3% (and firmly in the red for the year) by the...more

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