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Expert Analysis

Ousted Directors Have Broad Records Inspection Rights

By Gail Weinstein, Brian Mangino, Randi Lally and Maxwell Yim (February 4, 2019, 5:49 PM EST) -- In Schnatter v. Papa John's,[1] the Delaware Court of Chancery ruled that a director had the right, under DGCL Section 220, to inspect the corporate books and records that related to the board's determination to seek to sever ties with him. The board of Papa John's International Inc. had terminated contractual arrangements with the director John Schnatter and sought his resignation based on his alleged misconduct involving the use of racial slurs....

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