CBOE Settles Voting Rights Battle In Planned IPO

Law360, New York (June 3, 2008, 12:00 AM EDT) -- The Chicago Board Options Exchange has proposed a settlement of its dispute with former Chicago Board of Trade members who have sued to to retain voting rights if the options exchange becomes a public company.

The agreement, if approved, would grant the plaintiffs an 18% equity interest in a CBOE demutualization plus a cash payment of $300 million, according to a memo the CBOE issued to its members Monday.

Under the proposal, the CBOT members would drop their legal claims, pending in the Delaware Court of...
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