Recent News

Del. Supreme Court Upholds ETE's Exit From Williams Merger

By Tom McParland |

Over a strong dissent from its chief justice, the Delaware Supreme Court late Thursday upheld a vice chancellor's decision to allow Energy Transfer Equity to walk away from a once-promising merger with The Williams Cos. Inc. by a 4-1 vote.

Philip R. Shawe is an owner and the innovation behind the largest translation company TransPerfect. (wikimedia)

Attorneys to Seek Shareholder Meeting to Resolve TransPerfect Conflict

By Tom McParland |

Attorneys for Philip R. Shawe are preparing to ask the Delaware Court of Chancery to order a shareholder meeting to elect a new slate of directors for TransPerfect Global Inc., to avoid a court-ordered sale of the profitable translation-service company, Shawe's lawyer said on Thursday.

And Then There Were Three: Del.'s Judge Robinson Set to Retire

By Alan R. Silverstein and Stephanie E. O'Byrne |

On Feb. 3, Judge Sue L. Robinson, the longest-serving member of the U.S. District Court for the District of Delaware (and the district judge with the second-highest number of patent cases assigned on a per judge basis in the country) acquired another title—that of senior judge.

Teva Pharmaceuticals.

Stark Green Lights Infringement Claims Against Teva

By Tom McParland |

Teva Pharmaceuticals could not escape a patent infringement suit Monday, after a Delaware federal judge found there was enough evidence to suggest that the Israel-based generic drugmaker had tried to usurp the market for treating a disease without the proper approval.

Verizon headquarters

Court Finds Verizon's Insurers Liable for Up to $48M in Legal Fees

By Greg Land |

A ruling unsealed by a Delaware judge says that Verizon Communications is due what it claims are more than $48 million in attorney fees and expenses accrued successfully defending a lawsuit filed against the telecom giant after it spun off a subsidiary that later went bankrupt.

Del. Supreme Court Revives Challenge to $1B Pipeline Buyback

By Tom McParland |

The Supreme Court of Delaware Monday, in a decision reversing the Delaware Court of Chancery, rejected its own rigorous bad-faith pleading standard in a case involving a plaintiff's challenge to a conflicted transaction by a master limited partnership.

J. Travis Laster.

Laster Says Surveillance Docs Must Be Produced in Suit Over Control of Energy Co.

By Tom McParland |

Vice Chancellor J. Travis Laster on Monday panned as "not credible" William I. Koch's attempts to avoid turning over documents in a pitched battle over the future of Koch's Oxbow Carbon and ordered the billionaire to produce surveillance records and other information to minority investors fighting to sell their holdings.

Patricia A. Winston and Edward McNally, of Morris James

The Perils of Advancement

By Edward M. McNally and Patricia A. Winston |

There is perhaps one single obligation that most aggravates corporate boards of directors: Paying your opponent's legal fees when you are convinced he has done you wrong. How then is that not just possible, but a regular occurrence?

James L. Hallowell and Lauren M. Sager

Justice Holland's Lasting Imprint on Corporate Law

By James L. Hallowell and Lauren M. Sager |

In early February, Justice Randy Holland, the longest-tenured member of the Delaware Supreme Court, announced his plans to retire at the end of March.

gavel and money

Ousted General Partner Not a Limited Partner After Ouster, Del. Supreme Court Says

By Tom McParland |

The Delaware Supreme Court ruled March 10 that a former general partner did not convert to a limited partner when forced out of a limited partnership, and was only entitled to a fraction of the compensation it sought from the company in a buyback of its interest.

LONDON - MAY 21: IBM logo on the IBM Client Centre building on May 21, 2013 in London, UK. IBM is an American multinational technology and consulting corporation.

Federal Circuit Upholds Dismissal of Infringement Case Against IBM

By Tom McParland |

The U.S. Court of Appeals for the Federal Circuit has upheld a Delaware judge's ruling that a lack of clarity in claims for a patent covering anti-malware software doomed a company's infringement case against IBM.

Brian Arbetter and Samantha Beltre

Employer Tips for Minimizing Risks of Independent Contractors

By Brian Arbetter and Samantha Beltre |

In today's varying economic climate, many employers are using and misusing the concept of independent contractor to engage individuals to perform services.

Barry M. Klayman and Mark E. Felger

Dollar Cap on Committee Professional Fees Under Confirmed Plan

By Barry M. Klayman and Mark E. Felger |

U.S. Bankruptcy Judge Christopher S. Sontchi has held that absent specific language in a debtor-in-possession financing order, a carve-out for a fixed dollar amount for professional fees does not serve as a cap on the amount of fees to which a professional may be entitled once a Chapter 11 plan is confirmed.

Vice Chancellor Joseph Slights.  Courtesy photo

Slights Awards Former CFO $1.8M in Indemnification Suit

By Tom McParland |

The Delaware Court of Chancery on March 3 awarded a former officer of OptimisCorp $1.8 million to cover the cost of successfully defending allegations that he had plotted to remove a physical services company's chief executive back in 2012.

Office Depot employee Derek Richardson straightens shelf items in the company's Tallahassee, Fla. store, Thursday, July 27, 2006.

Court Tosses Challenge to Del. Unclaimed Property Collection

By Tom McParland |

A Delaware federal judge has once again dismissed a challenge to the state's method for collecting unclaimed property, saying a company could not plausibly claim the scheme was pre-empted by federal law.

patent stamp

Eastern Texas Still Patent Case Champ, According to Lex Machina Data

By Scott Graham |

Overall patent filings dropped in 2016, a trend analysts attributed to a change in federal pleading requirements in December 2015.

Questions Over Energy Company's Partnership Unit Issuances Headed to Trial

By Tom McParland |

Vice Chancellor Sam Glasscock III is leaving for trial open questions regarding the propriety of partnership unit issuances Energy Transfer Equity made in the run-up to its since-scuttled merger with The Williams Cos. Inc.

Stephen Plotnick and Alexander Malyshev.

New York's LLC Law Fosters Greater Certainty for Members and Their Rights

By Stephen M. Plotnick and Alexander G. Malyshev |

The LLC form is often favored because it offers a great deal of flexibility in how a business is to be governed and operated day-to-day.

gavel

Merger Wipes Out Ex-Shareholder's Right to View Books and Records

By Tom McParland |

A former stockholder in Monster Worldwide Inc. lost standing to inspect corporate books and records, when the job-search service was acquired by a global human resources firm, the Delaware Court of Chancery ruled Monday.

Brett McCartney

Chancery Appoints Custodian to Dislodge Board Deadlock

By Brett M. McCartney |

Delaware law entrusts the management of a corporation to its board of directors. Not surprisingly, circumstances arise where a consensus among directors cannot be reached on major decisions impacting a company.

Strine Approves Attorney Fees for Aggrieved Noteholders

By Tom McParland |

The Delaware Supreme Court on Monday ruled noteholders who had secured warrants after an issuer defaulted on the debt are entitled to attorney fees. In so holding the high court reversed the Delaware Court of Chancery.

Vice Chancellor Sam Glasscock III.

Glasscock Sends Question of Advancement Rights to Arbitration

By Tom McParland |

The Delaware Court of Chancery has sent to arbitration an advancement dispute stemming from the messy wind down of a hedge fund during the 2008 financial crisis, finding an agreement between the firm and its investors had overcome the presumption that the court should decide the matter of substantive arbitrability.

Rite Aid Not Required to Fund Ex-GC's Bid to Overturn Conviction

By Tom McParland |

The Delaware Supreme Court has rejected a former Rite Aid Corp. executive's bid to use a collateral attack on a final ruling to extend the period in which he could recover attorney fees from his former employer.

Justices Weigh Whether Company Must Pay for Ex-GC's Collateral Attack on Conviction

By Tom McParland |

In a long-standing row over indemnification, the Delaware Supreme Court is considering whether a collateral attack after a final ruling on direct appeal extended the period in which a former executive could seek attorney fees from his former employer.