05/11/2010 03:50:00 PM EST
McG Capital Corp. ex rel. Jenzabar, Inc. v. Maginn, 2010 Del. Ch. LEXIS 87 (Del. Ch. May 5, 2010)
Overview: Demand futility under Del. Ch. Ct. R. 23.1 was not excused as to
derivative claims where a majority of the board was disinterested, independent,
and not subject to personal liability due to an exculpatory provision under
Del. Code Ann. tit. 8, § 102(b)(7); direct breach of fiduciary duty claims failed.
Counsel: David C.
McBride, Martin S. Lessner, and Emily V. Burton, of YOUNG CONAWAY STARGATT
& TAYLOR, LLP, Wilmington, Delaware; OF COUNSEL: John G. Fabiano, Daniel W.
Halston, and Michael R. Dube, of WILMER CUTLER PICKERING HALE & DORR, LLP,
Boston, Massachusetts, for Plaintiff.
Catherine G. Dearlove, Geoffrey G. Grivner, and Thomas A. Uebler, of
RICHARDS, LAYTON & FINGER, P.A., Wilmington, Delaware, Peter J. Walsh, Jr.,
Abigail M. Legrow, and Daniel A. Mason, of POTTER ANDERSON & CORROON, LLP,
Wilmington, Delaware; OF COUNSEL: Edward J. Naughton, of BROWN RUDNICK, LLP,
Boston, Massachusetts, Robert Ullmann, of NUTTER McCLENNEN & FISH, LLP,
Boston, Massachusetts, Stephen D. Poss and Kevin P. Martin, of GOODWIN PROCTER,
LLP, Boston, Massachusetts, for Defendants.
Judge: CHANDLER, Chancellor.
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