3 New Weapons To Combat Shareholder Litigation

Law360, New York (August 19, 2014, 10:17 AM EDT) -- Over the past several years there has been an overwhelming abundance of class action shareholder litigation. A study by Cornerstone Research found that in 2013 alone, 94 percent of mergers and acquisitions worth more than $100 million were challenged by shareholders. Many shareholder actions are multiforum suits where companies are forced to defend against claims in several jurisdictions. These suits are, of course, expensive, and typically the only winner is the plaintiffs' attorney. Recently, courts have been chipping away at aggressive shareholder litigation, and companies now have more options in defending against these suits....

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