Stec Directors Say Calif. Law Bars Suit Over $340M Merger

Law360, New York (November 6, 2013, 1:34 PM EST) -- Former directors of computer storage device maker Stec Inc. asked a California federal judge Tuesday to throw out a shareholder's proposed class action over the company's $340 million merger with a Western Digital Corp. unit, claiming the suit is barred by California's appraisal statute.

Named plaintiff William A. Sokolowski's complaint alleging breach of fiduciary duty is prohibited since the appraisal statute — which allows shareholders in certain transactions the right to dissent and seek an independent appraisal of the fair market value of their stock —...
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