Chancery Badly Bungled Stock Fix Ruling, Del. Justices Told
By Jeff Montgomery (November 13, 2019, 10:13 PM EST) -- Investors in furniture company Design Within Reach told Delaware's Supreme Court on Wednesday that the state's chancellor violated "bedrock law" in allowing use of technical corporate act correction rules to retroactively validate a controlling stockholder's holdings and a later $170 million merger.
David B. Hennes of Ropes & Gray LLP, counsel for investor Andrew Franklin, told a three-justice panel that Chancellor Andre G. Bouchard incorrectly applied sections 204 and 205 of Delaware's General Corporation law when DWR and controlling hedge fund Glenhill Capital Management LP were confronted with challenges to their holdings after DWR's $170 million merger with Herman Miller Inc....
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!