Hemispherx Can't Duck Suit Over $2.1M Exec Bonuses

Law360, Wilmington (August 18, 2015, 5:28 PM EDT) -- A Delaware Chancery judge on Tuesday refused to throw out a shareholder suit challenging Hemispherx Biopharma Inc.'s $2.1 million in bonuses for executives who led a doubling of the biotech's market capitalization, saying too many questions remain unanswered about the propriety of the payments.

Chancellor Andre G. Bouchard said following arguments in Wilmington that Hemispherx's special litigation committee failed to meet its burden under Chancery case law to establish it acted independently and in good faith when it concluded it was not in the company's best interest to litigate against its own executives and board over the payments.

The special litigation...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!