Judge Rejects Attorney Fee Bid in Settled Backdating Case Sep 23, 2008
The and , which represented shareholders in a derivative action against several current and former board members of Glenayre Technologies Inc., opted to settle the action after concluding that little chance existed of recouping monetary damages from the company ... Lee D. Rudy of Schiffrin Barroway Topaz & Kessler, who served as lead counsel in the derivative action, said the litigation "created a substantial benefit for Glenayre and its shareholders." He added that Justice Cahn's position... (Law.com)
Delaware Chancery Court Issues Decision in Loral Shareholder Derivative and Skynet Noteholder Actions Sep 22, 2008
In the shareholder derivative action, the court held that the MHR Fund Management LLC's $300 million investment in Loral did not meet the entire fairness standard under Delaware law. The Court ordered that MHR's preferred shares be converted into 9,505,673 non-voting common shares. (Primezone Releases)
Point Blank gets OK to settle claims Jun 27, 2008
The derivative action settlement calls for the Pompano Beach-based armor maker to adopt certain corporate governance provisions and pay $300,000 in attorneys' fees and expenses to lead counsel in the action. "The court's ruling resolves another legacy issue and removes uncertainty surrounding our company and potential liability," Point Blank Solutions Chief Executive Officer Larry Ellis said in a news release. (South Florida Business Journal, FL)
U.S. judge rules Countrywide Financial officials must react to insider accusations May 15, 2008
The suit names 14 current and former directors and officials as defendants; it is known as a derivative action because shareholders of Countrywide are suing its officers and directors on behalf of the company. Lawyers representing the plaintiffs said that they would ask the judge to expedite discovery so that they can get testimony before the proposed purchase of Countrywide by Bank of America takes place. (International Herald Tribune -- Business)
Attention Applied Micro Circuits Corporation, Inc. Shareholders: Robbins Umeda & Fink, LLP Announces a Pending Shareholder Action Settlement May Impact Your Rights -- AMCC Mar 22, 2008
SAN DIEGO, March 21, 2008 (PRIME NEWSWIRE) -- The plaintiffs and defendants in a derivative action brought on behalf of Applied Micro Circuits Corporation, Inc. (``AMCC'' or the ``Company'') pending before the United States District Court for the Northern District of California (the ``Court'') have reached a tentative settlement ... The settling plaintiffs first filed the derivative action, purportedly for the benefit of AMCC, on July 11, 2006 ... Robbins Umeda & Fink, LLP, a San Diego,... (Primezone Releases)
Investment firm seeks to acquire Transmeta Feb 1, 2008
The investment firm--which is also attempting to acquire Zilog Inc.--filed a ''shareholder derivative action'' against Transmeta and its board, including John O' Hara Horsely, Richard Hugh Barnes, Lester M. Crudele, Robert V. Dickinson, Murray A. Goldman, William P. Tai, Thomas Peter Thomas, Rick Timmins and Sujan Jain. The complaint alleges breaches of fiduciary duty, gross mismanagement, waste of corporate assets and abuse of control arising from actions taken by the issuer's board and... (EETimes)
Plaintiffs Lawyers Split $9.5M Fee in Shareholder Suit Against Schering-Plough Jan 15, 2008
It has become much more common in recent years for derivative action settlements to provide for changes in corporate governance, he says. Incentives other than lawsuits are also at work, he notes. (Law.com)
Insurer's ex-CEO to forfeit $400m Dec 7, 2007
Mark Molumphy, lead counsel of a shareholder derivative action against Apple Inc., said: "The important fact is that the people who got the grants are now being forced to give that money back, which to date really hasn't been the case. "We think that is the way these cases should be resolved. Frankly, the Apple case should have been resolved months ago. (Boston Globe)
Gardy & Notis, LLP, Faruqi & Faruqi, LLP, and Head, Seifert & Vander Weide Announce Largest Settlement Ever in a Shareholders' Derivative Action: Former and Current Officers and/or Directors of UnitedHealth Group Inc. Have Agreed to Pay or Dec 7, 2007
Gardy & Notis, LLP, Faruqi & Faruqi, LLP, and Head, Seifert & Vander Weide Announce Largest Settlement Ever in a Shareholders' Derivative Action: Former and Current Officers and/or Directors of UnitedHealth Group Inc. Have Agreed to Pay or Relinquish Options and Other Benefits Totaling $922 Million to Settle Stock Options Backdating Claims -- UNH: Financial News - Yahoo ... Gardy & Notis, LLP, Faruqi & Faruqi, LLP, and Head, Seifert & Vander Weide Announce Largest Settlement Ever in a... (Primezone Releases)
Point Blank Solutions Reports 2007 Third Quarter Results Nov 10, 2007
4 million (resulting from the proposed settlement of the class action and shareholder derivative action) as compared to equity based compensation expense in the current year quarter of $1. 2 million, a difference of $7. (PR Newswire)
RIM Announces Definitive Settlement to End Derivative Litigation Oct 6, 2007
Under the settlement, each of the respondents to the application and each of the defendants in the proposed derivative action denied the allegations made against them by the Ironworkers. The Ironworkers also have acknowledged the extraordinary success and shareholder value achieved by RIM during the period covered by the allegations made by Ironworkers in its application, and that the additional corporate governance measures and the measures agreed to be adopted by RIM as announced by RIM on... (CCNMatthews Press Releases)
AIG shareholders sue PricewaterhouseCoopers Oct 2, 2007
The derivative action -- a claim brought by shareholders on behalf of a corporation -- was filed in Delaware Chancery Court on Friday. Top Money stories. (ABC News -- Wire)
State Bancorp is sued by its shareholders Jul 25, 2007
Filed by the Great Neck office of the law firm Wolf Popper Llc, the suit is a so-called derivative action in which shareholders claim a right to enforce a company's interests against directors and other insiders. No specific amount of damages is sought because plaintiffs don't know yet exactly how much was lost, according to Chet Waldman, the Wolf Popper attorney in the case. (Newsday -- Business)
Onus on auditors to blow whistle Jul 3, 2007
To further enhance the protection of minority shareholders, the amendments will also introduce the codification of the common law derivative action, which will help ease setbacks, such as cost of proceedings, that is currently being borne by the individual shareholders who initiated the action. Additionally, the changes also included the amendment to repeal section 132G. The prohibition under this section was seen as an impediment to genuine business transactions of a company. (The Star Online, Malaysia -- Business)
Robbins Umeda & Fink, LLP Today Announced That a Derivative Action Has Been Commenced in the Circuit Court of Cook County, Illinois On Behalf of Midway Games Inc. -- MWY Jun 9, 2007
Robbins Umeda & Fink, LLP Today Announced That a Derivative Action Has Been Commenced in the Circuit Court of Cook County, Illinois On Behalf of Midway Games Inc. -- MWY: Financial News - Yahoo ... Robbins Umeda & Fink, LLP Today Announced That a Derivative Action Has Been Commenced in the Circuit Court of Cook County, Illinois On Behalf of Midway Games Inc. -- MWYFriday June 8, 7:00 pm ET ... The plaintiff is represented by Robbins Umeda & Fink, LLP, which has extensive experience in pursuing... (Primezone Releases)
Report: Funds question Wilson Sonsini role in Brocade representation May 1, 2007
The firm also represents Brocade and Larry Sonsini in a securities fraud suit in federal court and another shareholder derivative action in Santa Clara County Superior Court. Related Industry stories. (San Jose Business Journal, CA)
Federal Judge Questions Wilson Sonsini's Role in Brocade Suit Apr 29, 2007
Wilson Sonsini also represents Brocade and Sonsini in two other civil cases, a securities fraud suit in federal court and another derivative action in Santa Clara County Superior Court. "As a global enterprise, Brocade employs several law firms to advise on many different regulatory, compliance and legal matters," said Brocade spokeswoman Leslie Davis. (Law.com)
Scrushy pays $81M to settle SEC fraud case Apr 24, 2007
"However, Richard Scrushy is still vigorously defending and denies similar claims brought in a class action by HealthSouth shareholders and bondholders and in a stockholder's derivative action. Now that there will not be a costly and distracting trial with the SEC, Richard Scrushy will focus his attention on clearing up other legal issues.". Scrushy was acquitted by a federal jury of 36 charges relating to the multi-billion dollar fraud case in 2005. (Birmingham Business Journal)
Ironworkers add names to RIM options lawsuit Mar 18, 2007
An Ontario pension fund seeking to sue Research In Motion Ltd.'s audit committee on behalf of the company in a so-called derivative action added RIM's co-chief executives and its former chief financial officer to the proposed action ... A derivative action is a lawsuit brought by a shareholder on behalf of the company to enforce a cause of action against a third party. (Toronto Star)
Oops! Orrick Associate Lets Slip Mercury Backdating Document Feb 21, 2007
The document -- a complaint in a shareholder derivative action against former executives of Mercury Interactive Corp. -- contains explosive allegations against the executives and quotes extensively from e-mails in which the executives allegedly discuss backdating their own stock options ... But a Dow Jones News Service reporter discovered Friday that Orrick associate M. Todd Scott had inadvertently filed the complaint publicly with a motion to stay the derivative action in October ... The... (Law.com)
Abercrombie & Fitch Directors Receive Report of Special Litigation Committee Feb 17, 2007
The special litigation committee has concluded that there is no evidence to support the asserted claims, has determined it would not be in the best interest of the Company to pursue those claims and has directed the Company to seek dismissal of the derivative actions. The Derivative Actions As previously disclosed, in September 2005, a derivative action, styled The Booth Family Trust v. Michael S. Jeffries, et al., was filed in the United States District Court for the Southern District of Ohio,... (PR Newswire)
RIM did backdate options, expert alleges Jan 26, 2007
The fund wants the court to approve a so-called "shareholder derivative action" that would involve RIM suing the directors on behalf of shareholders. The derivative action would seek $105-million in damages and allege that during their tenure on the board, "numerous stock options were manipulated.". (Globe and Mail -- Technology)
Sun-Times Receives $50 Million Shareholder Settlement Jan 25, 2007
CHICAGO, Jan. 24 /PRNewswire-FirstCall/ -- The Sun-Times Media Group, Inc. (NYSE: ) announced today it received the payment related to a settlement approved by the Delaware Court of Chancery of claims brought against certain of the Company's former independent directors in a derivative action filed by Cardinal Value Equity Partners ("Cardinal") in December 2003. Originally announced in May 2005, the settlement was funded by proceeds from certain of the Company's directors and officers insurance... (PR Newswire)
RIM Discloses Filing of Notice of Application to Commence Shareholder Derivative Lawsuit Jan 25, 2007
The Notice of Application, among other things, seeks the permission of the Court to commence a shareholder derivative action purportedly on behalf of the Company against certain of RIM's directors relating to RIM's historical option granting practices, and also makes certain demands with respect to the conduct and scope of RIM's ongoing management-initiated, voluntary review of such practices ... Additional lawsuits, including purported class actions and additional derivative actions, may be... (CCNMatthews Press Releases)
Taking Over a Business You Work For Jan 8, 2007
If you are shareholders and you can document that the company's lack of profitability stems from fraud or embezzlement, you could bring a derivative action against the majority shareholders. "Most states also allow minority shareholders to bring an action alleging minority-shareholder oppression," Herrmann notes. (BusinessWeek)
Apple 10-Q: thirteen new lawsuits, nine settled Jan 3, 2007
Bader v. Anderson, et al. (shareholder derivative action), Birdsong v. Apple Computer, Inc.; Patterson v. Apple Computer, Inc. (iPod earbuds cause hearing loss), Branning et al. v. Apple Computer, Inc. (Apple sold used computers as new and failed to honor warranties); European Commission Investigation (UK iTunes Music Store pricing); Honeywell International, Inc. et al. v. Apple Computer, Inc. et al. (LCD patent infringement); Lenzi v. Apple Canada, Inc.; Wolfe v. Apple Computer, Inc. and Apple... (Think Secret)
