Corporate

Recent Posts

Delaware Court of Chancery Awards Fees Based on “Gross Value of Settlement”
Posted on 17 Jun 2015 by Francis G.X. Pileggi

In re Jefferies Group, Inc. Shareholders Litigation , Cons. C.A. No. 8059-CB (Del. Ch. June 5, 2015) [ an enhanced version of this opinion is available to lexis.com subscribers ]. This Delaware Court of Chancery letter ruling describes the standards... Read More

Delaware Court of Chancery Hears Fee-Shifting Bylaws Argument
Posted on 25 Aug 2014 by Francis G.X. Pileggi

After the Delaware Supreme Court decision in ATP Tour, Inc. v. Deutscher Tennis Bund , Del. Supr., No. 534, 2013 (May 8, 2014) [an enhanced version of this opinion is available to lexis.com subscribers] , highlighted on these pages, in which the court... Read More

Delaware Court of Chancery Awards $72 Million in Fees for Settlement of Class and Derivative Suit
Posted on 27 May 2015 by Francis G.X. Pileggi

In Re Activision Blizzard, Inc. Stockholder Litigation , Cons. C.A. No. 8885-VCL (Del. Ch. May 20, 2015) [ an enhanced version of this opinion is available to lexis.com subscribers ]. This Delaware Court of Chancery opinion refers to the settlement... Read More

Delaware Legislative Revision Proposed to Restrict Fee-Shifting Bylaws Introduced
Posted on 28 May 2014 by Kevin M. LaCroix

As discussed in a recent post ( here ), in a May 8, 2014 decision the Delaware Supreme Court upheld the facially validity of a nonstock corporation’s bylaw provision shifting attorneys’ fees and costs to unsuccessful plaintiffs in intra-corporate... Read More

The Latest on Arbitration Clauses in Corporate Bylaw Provisions
Posted on 20 May 2014 by Kevin M. LaCroix

In a recent post , I noted the Delaware Supreme Court’s ruling upholding the validity of bylaw provisions shifting the costs of litigation to an unsuccessful intra-corporate litigation claimant, which is the latest in a series of judicial decisions... Read More

Delaware Court of Chancery Awards Attorneys’ Fees of $660,000
Posted on 27 Feb 2012 by Francis G.X. Pileggi

Auriga Capital Corp. v. Gatz Properties, LLC , is an iconic opinion from the Delaware Court of Chancery that was issued on Jan. 27, 2012 and highlighted on these pages here. This decision is momentous because it explains why fiduciary duties will... Read More

Delaware Court of Chancery Awards Fees for Unfair Process Despite Finding of Fair Price
Posted on 14 May 2015 by Francis G.X. Pileggi

In Re Nine Systems Corporation Shareholders Litigation, Cons. C.A. No. 3940-VCN (Del. Ch. May 7, 2015) [ an enhanced version of this opinion is available to lexis.com subscribers ]. This Delaware Court of Chancery decision on the award of attorneys’... Read More

Supreme Court Disallows Award of Fees in the Absence of Final Judgment
Posted on 16 Jun 2014 by Francis G.X. Pileggi

Crothall v. Adhezion Biomedical, LLC , C.A. No. 608, 2013 (Del. Ch. June 9, 2014) [ an enhanced version of this opinion is available to lexis.com subscribers ]. This Delaware Supreme Court decision features a rare reversal of the Court of Chancery... Read More

Delaware Court of Chancery Imposes Fees for Bad Faith Litigation Tactics
Posted on 30 Sep 2013 by Francis G.X. Pileggi

ASB Allegiance Real Estate Fund v. Scion Breckenridge Managing Member LLC, C.A. No. 5483-VCL (Del. Ch. Sept. 16, 2013) [ an enhanced version of this opinion is available to lexis.com subscribers ] This Chancery decision, on remand from the Delaware... Read More

Delaware Court of Chancery Addresses Attorney’s Charging Lien
Posted on 13 Jan 2015 by Francis G.X. Pileggi

Zutrau v. Jansing and ICE Systems, Inc ., C.A. No. 7457-VCP (Dec. 8, 2014) [ an enhanced version of this opinion is available to lexis.com subscribers ]. This blog post should be of interest to lawyers who want to be paid for their services. Even if... Read More

Francis Pileggi Discusses Recent Delaware Supreme Court Decision Upholding Award of Attorneys’ Fees for Non-Monetary Corporate Benefit
Posted on 11 May 2012 by Francis G.X. Pileggi

In EMAK Worldwide, Inc. v. Kurz, No. 512, 2011 (Del. April 17, 2012), the Delaware Supreme Court considered whether the Court of Chancery properly granted an interim fee award in a shareholders' suit which did not produce an immediate monetary benefit... Read More

Tough Week for Fee-Seeking and "Fast Filer" Plaintiffs' Lawyers
Posted on 19 Jun 2012 by Kevin M. LaCroix

Our legal system is one of our society's crowning achievements. But for all of its grandeur, our legal system is not without its flaws. Among other things, our system encourages litigiousness that all too often involves frivolous suits and lawyers'... Read More

Though Delaware Legislature Has Tabled Action, Upcoming Judicial Review of Fee-Shifting Bylaws Seems Likely
Posted on 28 Jul 2014 by Kevin M. LaCroix

The Delaware Supreme Court stirred up quite a bit of controversy earlier this year in the ATP Tours, Inc. v. Deutscher Tennis Bund case when it upheld the facial validity of a fee-shirting by law [an enhanced version of this opinion is available to lexis... Read More

D&O Insurance: Non-Party Employee Witnesses' Attorneys' Fees Held Covered
Posted on 19 Aug 2011 by Kevin M. LaCroix

When corporate officials face an SEC enforcement action, the testimony of non-party corporate employees is sometimes required. The insurance question that may arise when this happens is whether the attorneys' fees incurred in connection with these... Read More

Delaware Corporate Bylaws: Even If the Company Can’t Fee Shift, It Can Still Forum Select
Posted on 3 Jun 2014 by Kevin M. LaCroix

In light of the recent legislative initiative to restrict Delaware stock corporations’ use of fee-shifting bylaws, companies incorporated in Delaware have, as described in a recent Law 360 article ( here , subscription required) a “smaller... Read More