Our Delaware Corporate, LLC and Partnership Law attorneys closely follow the opinions coming from Delaware’s Supreme Court and Court of Chancery. Our 2024 Year in Review is a collection of brief summaries of selected cases concerning Delaware Corporate, LLC and Partnership Law. Our summaries are intended to provide information that may be helpful in strategic and business decisions concerning litigation and commercial arrangements.
3.11.2024
Delaware Supreme Court Clarifies That Forfeiture-for-Competition Provisions Are Distinct from Restrictive Covenants and Not Subject to a Reasonableness Review —Cantor Fitzgerald, L.P. v. Ainslie
4.22.2024
When Actions or Inactions Fail to Meet a Contractual ‘Reasonable Efforts’ Obligation —Ashish Chordia, et al. v. Edward Lee, et al.
Daniel J. Brown and Chelsea A. Botsch
4.26.2024
‘Whitestone REIT Operating Partnership, L.P. v. Pillarstone Capital REIT’
Benjamin A. Smyth and Stephanie H. Dallaire
5.10.2024
Attributable vs. Incidental Rights: When Should a Corporation Seek Separate Class Votes? — In re Fox Corporation /Snap Inc. Section 242 Litigation
Philip D. Amoa and Kendeil A. Dorvilier
6.27.2024
Who Sins Most? The Tempter or the Tempted?—Court of Chancery Allocates Equal Fault Among Acquirer and Target Officers in Merger Dispute — In re Columbia Pipeline Group, Inc. Merger Litigation
7.3.2024
Court of Chancery Addresses Claims Resulting from a Conflicted Controller Transaction — Firefighters’ Pension System of the City of Kansas City, Missouri Trust v. Foundation Building Materials, Inc.
7.10.2024
Court of Chancery Untangles Mess of Facts in Breach of Fiduciary Duty Case — Kuramo Capital Management, LLC v. Seruma
7.17.2024
Chancery Court Denies QuarterNorth Investors’ Preliminary Injunction on Drag-Along Claim; Finds Low Odds of Success, High Risk to Pending $1.6B Merger — Mudrick Capital Management L.P., et al. v. QuarterNorth Energy Inc., et al.
7.18.2024
Chancery Court Awards Fee Shifting to Plaintiff That Prevailed on “Central” Case Issue, Despite Loss on Other Counts — Sunil M. Malkani, et al. v. Gemma Cunningham a/k/a Gemma Turi, et al.
7.22.2024
Chancery Court Finds Acquirer Must Advance Target Company CEO Defensive Litigation Costs per Company Bylaws, Indemnity Agreement — Rhodes v. Biomerieux Inc.
7.24.2024
Chancery Court Orders PDVH to Issue PDVSA Replacement Stock Certificate for Citgo Auction, Finds No Need for $1B–$2B Cash Bond — Petróleos de Venezuela SA v. PDV Holding
7.25.2024
The Court of Chancery Maintains Personal Jurisdiction over Former Manager of Delaware LLC Operating a Competing Opioid Clinic — Maric Healthcare, LLC v. Guerrero
Sarah E. Delia and Maliheh Zare
8.21.2024
Chancery Enforces Advancement Rights for Former Employee of Subsidiary and Awards Fees on Fees — Centrella v. Avantor, C.A. No. 2022-0876-NAC (Del. Ch. July 1, 2024) (Cook, V.C.)
Benjamin A. Smyth and Stephanie H. Dallaire
9.4.2024
Chancery Invalidates Provisions of Stockholder Agreement as Facially Invalid under DGCL Sections 141(a) and 141(c), Prompting Amendments to DGCL — West Palm Beach Firefighters’ Pension Fund v. Moelis & Co.
Benjamin A. Smyth and Stephanie H. Dallaire
10.18.2024
The Delaware Court of Chancery Dismisses Derivative Shareholder Lawsuit for Breach of Officers’ and Directors’ Fiduciary Duty to Oversee Corporation Arising out of Transunion’s Alleged Failure to Comply with Government Consent Decree — In re Transunion Derivative Stockholder Litigation, C.A. No. 2022-1103-LWW (Del. Ch. Oct. 1, 2024)
10.31.2024
Fiduciary Duty Claims Against Spac Sponsor and Directors Related to Alleged Statements in Proxy Statement Survive Defendants’ Motion to Dismiss — John Solak v. Mountain Crest Capital LLC, et al.
Matthew J. Rifino and Travis J. Ferguson
11.21.2024
A Reminder for Parties to Protect Themselves from Future Risk by Drafting Contracts That Fully Reflect Their Intentions — STX Business Solutions, LLC, et al., v. Financial-Information-Technologies, LLC, et al.
Daniel J. Brown and Chelsea A. Botsch
11.21.2024
Delaware Chancery Court Reminds Parties That the LLC Act Will Fill Gaps Left in LLC Agreements — Campus Eye Management Holdings, LLC v. E. Bruce DiDonato, OD, et al.
Daniel J. Brown and Chelsea A. Botsch
12.26.2024
Removal of Manager of Delaware LLC Arising from Member’s Inability to Cure Defaults — Bold St. Peters, L.P. v. Bold on Boulevard LLC, et al.
Philip D. Amoa and Kendeil A. Dorvilier
12.31.2024
Delaware Court of Chancery Rejects Elon Musk’s $55.8 Billion Tesla Compensation Package (Again) — Tornetta v. Musk