This Week's Cases

Delaware Court of Chancery

In re Massey Energy Co., DEFAX Case No. D67733 (Del. Ch. May 4, 2017), Bouchard, C. (49 pages).

Plaintiffs lacked standing to pursue their derivative claim following a merger. Plaintiffs characterized their other claim as a direct one, but the court held it too was derivative because plaintiffs sought to remedy corporate mismanagement that caused damage to the company premerger. Motions to dismiss granted.


Third Circuit

Hawk Mountain LLC v. Ram Capital Group LLC, DEFAX Case No. D67737 (3rd Cir. May 12, 2017), Fisher, J. (8 pages).

The four-year statute of limitations on RICO actions barred plaintiffs' claims, and plaintiffs failed to allege sufficient facts to justify application of the discovery rule in this case. Affirmed.


U.S. District Court of Delaware

Edgewell Personal Care Brands, LLC v. Albaad Massuot Yitzhak, Ltd., DEFAX Case No. D67735 (D.Del. May 9, 2017), Andrews, U.S.D.J. (20 pages).

Claims involving a "plurality" were limited to a specific maximum number where the patent specifically disclaimed any greater number throughout most of the patent prosecution history.


U.S. Bankruptcy Court of Delaware

In re HH Liquidation, LLC, DEFAX Case No. D67739 (Del. Bank. May 8, 2017), Gross, J. (15 pages).

In this adversary proceeding, the committee of unsecured creditors was entitled to the production of business documents which were not prepared in anticipation of trial. Motion to compel production of documents granted in part; denied in part.


Delaware Court of Chancery

In re Cyan, Inc., DEFAX Case No. D67738 (Del. Ch. May 11, 2017), Bouchard, C. (44 pages).

Board members were shielded by the business judgment rule in approving a merger, and the allegations of the complaint were insufficient to indicate board members breached their fiduciary duties. The majority of the stockholders voted in favor of a merger in a vote that was adequately informed and not coerced. Motion to dismiss granted.