Delaware

  • March 26, 2024

    FTX Says Millions In Ch. 11 Token Claims Should Be Zeroed

    Cryptocurrency exchange FTX Trading Ltd. argued in court Tuesday that a Delaware bankruptcy judge should estimate the claims of customers holding some digital tokens at a heavy discount for Chapter 11 purposes, including zeroing out hundreds of millions of dollars in token value.

  • March 26, 2024

    SPAC Investors Misled In $1.35B Stem Deal, Del. Suit Says

    A former stockholder of a blank-check company that merged with intelligent energy storage business Stem Inc. filed a proposed class action in Delaware's Court of Chancery Tuesday, alleging breaches of fiduciary duty and unjust enrichment in connection with the April 2021 merger.

  • March 26, 2024

    3rd Circ. Says EMS Transport Without Consent Is Med Mal

    A patient who was transported to a Pennsylvania hospital against his will was effectively making a medical malpractice claim against the emergency medical services technicians and needed to file a "certificate of merit" to back up such a claim, a split Third Circuit panel ruled Tuesday.

  • March 26, 2024

    Sony Ducks $500M PlayStation Patent Suit In Del.

    A Delaware federal court has sided with Sony in a $500 million patent infringement suit brought by Genuine Enabling Technology LLC over PlayStation consoles, marking a close to the case.

  • March 26, 2024

    Pot Co. Withholding Fees Despite Court Order, Chancery Told

    Three former directors of Left Coast Ventures Inc. say the cannabis company still hasn't advanced their legal defense fees for a merger-related lawsuit despite a court order to do so, and are now seeking help from Delaware's Court of Chancery to get the bills paid.

  • March 25, 2024

    Rivian's Brass Sued In Del. Over Vehicle Pricing Whiplash

    A shareholder of California-headquartered electric vehicle manufacturer Rivian Automotive Inc. has filed a derivative suit against the company's top brass in Delaware's Court of Chancery, alleging they made false and misleading statements concerning Rivian's financial model, including about production costs and pricing for its EV pickup truck and SUV.

  • March 25, 2024

    J&J Exec 'Shocked' Over Atty's Ties With Talc Plaintiffs

    Johnson & Johnson's vice president of litigation said on Monday he was "utterly shocked and appalled" upon learning an attorney who served as the company's outside counsel was working with its adversary Beasley Allen Law Firm and one of its attorneys in litigation over the alleged link between the company's talcum powder products and ovarian cancer.

  • March 25, 2024

    3rd Circ. Says NJ City Can't Stop Sale Of Failed Project's Sites

    The Third Circuit tossed a New Jersey city's challenge of a bankruptcy court ruling that allowed the two local properties of a failed affordable housing project to be sold to a third party, according to an unpublished opinion Monday.

  • March 25, 2024

    Del. Justices Undo Toss Of Brookfield-TerraForm Merger Suit

    Delaware's Supreme Court on Monday reversed the dismissal of a suit from former shareholders of TerraForm Power Inc. who challenged a squeeze-out merger by Brookfield Asset Management Inc., concluding a proxy statement failed to fully disclose alleged conflicts of interest involving special advisers Morgan Stanley & Co LLC and Kirkland & Ellis LLP.

  • March 25, 2024

    FTX Reaches Deals For $884M In Ch. 11 AI Biz Stock Sales

    Bankrupt cryptocurrency exchange FTX Trading Ltd. informed a Delaware court that it has reached agreements with two dozen purchasers for sales of the debtor's holdings in artificial intelligence company Anthropic PBC worth $884.1 million.

  • March 25, 2024

    X Can't Boot Severance Suit To Arbitration, Ex-Worker Says

    A former employee told a Delaware federal court that X Corp. can't derail a suit alleging it owes $500 million for skimping on severance pay after Elon Musk took over and fired thousands of workers, saying X breached the pact it's trying to use to force arbitration.

  • March 25, 2024

    3rd Circ. Won't Rethink AbbVie Privilege Ruling

    The Third Circuit refused Monday to reconsider a ruling that found AbbVie was unable to show a lower court went against precedent or made errors when ordering the drugmaker to turn over attorney communications from a patent case allegedly meant to delay an AndroGel rival.

  • March 25, 2024

    Catching Up With Delaware's Chancery Court

    Last week in Delaware's Court of Chancery, litigants battled as Truth Social went public, Carl Icahn and Tripadvisor hit a roadblock, and more shareholders wailed about "invasive" bylaws. Oil drilling and pharmaceutical mergers sparked new lawsuits, and a sewing machine trademark owner sued to end a contract.

  • March 25, 2024

    FTX Clawbacks Unlikely To Help Bankman-Fried At Sentencing

    FTX founder Sam Bankman-Fried probably won't find much success in arguing for a shorter prison term based on the billions of dollars recovered by the shuttered crypto exchange's bankruptcy estate, experts told Law360 ahead of this week's much-anticipated sentencing hearing.

  • March 22, 2024

    Gilead's Win Upheld In Billion-Dollar HIV Drug Patent Case

    A Delaware federal judge on Friday largely upheld a jury's verdict rejecting the government's potentially billion-dollar claim that Gilead Sciences Inc. infringed patents covering HIV drugs, ruling that the jury was correct in finding Gilead didn't cause doctors and patients to infringe.

  • March 22, 2024

    Jury Says Dexcom Infringed 1 Abbott Patent In Mixed Verdict

    A Delaware federal jury decided Friday that Dexcom infringed a glucose monitor patent owned by an Abbott Laboratories unit, cleared it of infringing two others and hung on a fourth, setting up a later damages trial in the latest facet of a globe-spanning legal dispute between the companies.

  • March 22, 2024

    Dril-Quip Investor Alleges Merger Will Entrench Board

    A shareholder of oil drilling equipment company Dril-Quip Inc. hit its directors with a proposed class action in Delaware Chancery Court, alleging they added unreasonable provisions to the terms of its merger with Innovex Downhole Solutions Inc. to disenfranchise shareholders.

  • March 22, 2024

    Judge Signals OK For $15M DIP Loan To Petersen Health Care

    During a break in a hearing Friday afternoon in Delaware bankruptcy court, senior-living company Petersen Health Care reached an interim deal with its debtor-in-possession lender and its prepetition lenders to let it access $15 million of its proposed $45 million DIP loan.

  • March 22, 2024

    Feds Reach Deal To Seize, Sell FTX Executive Jets

    Federal prosecutors Friday told a New York federal judge they have reached a deal to seize and sell private jets intended to take convicted fraudster Sam Bankman-Fried and top executives of his bankrupt cryptocurrency exchange FTX to and from the company's Bahamian headquarters.

  • March 22, 2024

    US Trustee Says Fla. Healthcare Co. Can't Seal Stock Sale Bid

    The U.S. Trustee's Office has urged a Delaware bankruptcy judge to deny a Miami-based primary healthcare group's request in its Chapter 11 case to redact information in the debtor's motion to sell its shares in a healthcare claims reimbursement servicer.

  • March 22, 2024

    Minority Investor Seeks Docs As Truth Social Goes Public

    A minority stockholder of the company behind former President Donald Trump's Truth Social has demanded a New York clearing agent share whatever information it got about the company's stockholder lists before Digital World Acquisition Corp. shareholders voted to acquire the social media platform on Friday.

  • March 22, 2024

    3rd Circ. Says Tax Court Has Power To Tackle Debt Offset Case

    A woman whose tax refunds were withheld by the Internal Revenue Service for five years to satisfy what the agency said was her underlying tax liability will get another chance to convince the U.S. Tax Court that the government was wrong, the Third Circuit ruled Friday.

  • March 22, 2024

    Chancery Denies Midcase Appeal In TripAdvisor Dispute

    The Delaware judge who gave TripAdvisor Inc. the go-ahead to convert its corporate home to Nevada while upholding most of a shareholder lawsuit challenging the proposed move has refused to certify a midcase appeal of his ruling, despite what he called "disproportionate media attention" about companies fleeing Delaware.

  • March 22, 2024

    Del. Courts Examining 'Colonoscopy'-Like Bylaw Rules

    Invasive advance-notice bylaws that some observers say make shareholder board nominations as intrusive as a "colonoscopy" are reviving old questions in Delaware courts about how far boards can go to protect themselves against shareholder activism.

  • March 22, 2024

    Trump Wins Investor Approval Of Truth Social SPAC Deal

    Digital World Acquisition Corp. shareholders on Friday approved a proposal to acquire former President Donald Trump's social media platform, setting in motion long-delayed plans to take Trump's startup public despite unresolved litigation tied to the merger.

Expert Analysis

  • Why Standing Analysis Is Key In Data Breach Mediation

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    Amid a growing wave of data breach class action litigation, recent legal developments show shifting criteria for Article III standing based on an increased risk of future identity theft, meaning parties must integrate assessments of standing into mediation discussions to substantiate their settlement demands in data breach class actions, says Abe Melamed at Signature Resolution.

  • Opinion

    Judicial Independence Needs Defense Amid Political Threats

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    Amid recent and historic challenges to the judiciary from political forces, safeguarding judicial independence and maintaining the integrity of the legal system is increasingly urgent, says Robert Peck at the Center for Constitutional Litigation.

  • How Life Sciences Cos. Can Prevent Securities Class Actions

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    Though the overall volume of securities fraud class actions has dipped in the last couple of years, life sciences companies remain a particularly popular target for these filings and should employ best practices to minimize risk, say Joni Jacobsen and Angela Liu at Dechert.

  • How Law Firms Can Use Account-Based Marketing Strategies

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    Amid several evolving legal industry trends, account-based marketing can help law firms uncover additional revenue-generating opportunities with existing clients, with key considerations ranging from data analytics to relationship building, say Jennifer Ramsey at stage LLC and consultant Gina Sponzilli.

  • Navigating Over-The-Counter Product Ads After FTC Warning

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    Attorneys at Hunton examine advertising substantiation requirements under both the Federal Trade Commission Act and Lanham Act, following recent FTC letters informing hundreds of companies that over-the-counter product marketing claims must be corroborated by scientific evidence.

  • Strategic Succession Planning At Law Firms Is Crucial

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    Senior partners' reluctance to retire, the rise of the nonequity partner tier and generational differences in expectations are all contributing to an increasing number of departures from BigLaw, making it imperative for firms to encourage retirement among senior ranks and provide clearer leadership pathways to junior attorneys, says Laura Leopard at Leopard Solutions.

  • Maximizing Law Firm Profitability In Uncertain Times

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    As threats of an economic downturn loom, firms can boost profits by embracing the power of bottom-line management and creating an ecosystem where strategic financial oversight and robust timekeeping practices meet evolved client relations, says Shireen Hilal at Maior Strategic Consulting.

  • FLSA Ruling Highlights Time Compensability Under State Law

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    While the Third Circuit's August decision in Tyger v. Precision Drilling endorsed the prevailing standard among federal courts regarding time compensability under the Fair Labor Standards Act, it also serves as a reminder that state laws will often find a broader range of activities to be compensable, say Ryan Warden and Craig Long at White and Williams.

  • What UCC Article 12 Adoption Means For Digital Assets

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    Until it is widely adopted, both owners of digital assets and their secured lenders will need to exercise caution in jurisdictions that have adopted Uniform Commercial Code Article 12, and care will need to be taken when creating, transferring and managing digital assets to comply with its requirements, say Margo Tank and David Whitaker at DLA Piper.

  • USW Ruling Highlights Successor Liability In Bankruptcy Sale

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    A Delaware federal court's recent decision in United Steelworkers v. Braeburn is important for potential asset purchasers in Section 363 bankruptcy sales as it found the purchaser was subject to obligations under the National Labor Relations Act notwithstanding language in the sale approval order transferring the debtor's assets free and clear of successor liability, say attorneys at Arnold & Porter.

  • 5th Circ. Ruling Reminds Attys That CBP Can Search Devices

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    The Fifth Circuit’s recent Malik v. Department of Homeland Security decision adds to the chorus of federal courts holding that border agents don’t need a warrant to search travelers’ electronic devices, so attorneys should consider certain special precautions to secure privileged information when reentering the U.S., says Jennifer Freel at Jackson Walker.

  • 5 Takeaways From Bellwether AI Copyright Case

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    A Delaware federal court's ruling last week in Thomson Reuters v. ROSS is the first summary judgment ruling regarding fair use of copyrighted material to train generative artificial intelligence models and provides an early glimpse of how an appeals court judge views key generative AI copyright issues, says Michael Justus at Katten.

  • Avoiding The Ethical Pitfalls Of Crowdfunded Legal Fees

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    The crowdfunding of legal fees has become increasingly common, providing a new way for people to afford legal services, but attorneys who accept crowdsourced funds must remember several key ethical obligations to mitigate their risks, say Hilary Gerzhoy and Julienne Pasichow at HWG.

  • Appellate Rulings Highlight Telecom Standard Uncertainties

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    Two recent contrasting appellate opinions in Cellco v. White Deer Township and NMSurf v. Webber — interpreting Sections 332 and 253 of the Communications Act, respectively — demonstrate the continuing uncertainty carriers face when challenging state and local requirements that may impede their provision of telecommunications services, say attorneys at Davis Wright.

  • 2 Cases May Expand CFPB's Reach On Deceptive Practices

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    In two separate cases, the Consumer Financial Protection Bureau is asserting a broad interpretation of who is subject to the Consumer Financial Protection Act's prohibition on unfair, deceptive, or abusive acts and practices, raising questions about what an expansion of its authority might mean for consumer credit markets, say John Coleman and Leslie Meredith at Orrick.

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