All articles tagged with #delaware chancery court
A Delaware judge refused Paramount’s bid to fast-track a breach-of-fiduciary-duty suit seeking disclosures about how Warner Bros. Discovery evaluated Netflix’s $82.7 billion offer, allowing the case to proceed amid Paramount’s proxy-fight push.
A Delaware Chancery Court judge denied Paramount Skydance’s bid to fast-track its suit against Warner Bros. Discovery seeking disclosures of how the Netflix deal was valued and the Discovery Global spin-off, ruling Paramount hadn’t shown irreparable harm; the rivals continue to press for disclosures amid ongoing proxy and governance moves.
A Delaware Chancery Court judge refused Paramount’s bid to fast-track its suit against Warner Bros. Discovery, ruling Paramount did not show irreparable harm to justify expedited disclosures about the board’s recommendation not to tender shares; the decision preserves normal litigation timelines as Paramount extends its tender offer amid Netflix-related merger dynamics and a looming proxy fight.
Warner Bros. Discovery blasted Paramount’s bid to fast-track a Delaware Chancery Court trial over WBD’s Netflix deal, calling it an “urgency theatre” move while Paramount pursues a hostile bid and pressures stockholders before its January 21 tender deadline. A hearing is set for Thursday to consider the motion, and WBD plans to file a Netflix merger proxy detailing the deal and advisers’ fairness opinions as the fight over control of Warner Bros. Discovery intensifies.
A Delaware Chancery court judge has upheld her decision to nullify Elon Musk's $56 billion compensation package from Tesla, despite a shareholder vote to re-ratify the deal. Judge Kathaleen McCormick cited multiple legal flaws in Tesla's attempt to overturn her ruling, including procedural issues and misstatements in the proxy statement. The decision follows a lawsuit by Richard Tornetta, who argued that the package was unfairly influenced by Musk's control over Tesla's board. Tesla is expected to appeal the decision.
A Delaware judge has allowed a March 22 shareholder vote on the Trump Media & Technology Group merger, despite complaints from co-founders Andy Litinsky and Wes Moss about potential dilution of their stake. The merger could result in a $4 billion windfall for former President Donald Trump. The judge suggested that if Trump agrees to put the disputed shares in an escrow account, the issue might be resolved. The blank-check company hosting the vote has already agreed to escrow the disputed stock in a separate suit. This merger could provide financial relief for Trump, who faces significant legal judgments.
The Delaware Chancery Court's decision to void Elon Musk's $56 billion pay package has resulted in a potential windfall for the lawyers representing the shareholders who brought the case against Tesla. Lead lawyer Greg Varallo indicated that they will be seeking a substantial fee for their services, prompting Musk to express disbelief at the potential payout. Delaware's lucrative legal landscape for attorneys involved in corporate lawsuits has come under scrutiny, with recent cases involving S&P 500 companies leading to significant fees for legal representation. The decision has sparked debate and legal challenges, with Tesla shareholders seeking to reverse the ruling.
Berkshire Hathaway has accused Jimmy Haslam, the former owner of Pilot Travel Centers, of engaging in an "illicit scheme" to manipulate the company's earnings and increase the value of his remaining stake. According to court filings, Haslam allegedly promised secret bonuses to senior executives and managers in order to boost short-term profits at the expense of long-term value. The aim was to raise the value of his 20% stake in the truck stop chain.
AMC Entertainment Holdings Inc.'s stock fell while its AMC Preferred Equity units (APEs) rose as the company's battle to convert APEs into common stock reached the Delaware Chancery Court. AMC shareholders previously voted in favor of the stock conversion proposal, which is part of the company's efforts to eliminate debt. A settlement agreement has been reached, pending approval from a chancery judge. The largest investor in the APEs, Antara Capital LP, has reduced its stake to below 10%.
AMC Entertainment Holdings' shares rose by 22% to $4.94 in midday trading after the company announced that it will not proceed with its reverse stock split or the conversion of AMC Preferred Equity Units into Class A common stock until a Delaware Chancery Court makes a decision.
The judge in the AMC Entertainment shareholder lawsuit declined to approve a settlement that would have allowed the company to convert its AMC Preferred Equity units to common stock. The settlement required the approval of the judge in the Delaware Chancery Court Case. The ruling was related mainly to the speed of the settlement, not necessarily its merits or terms. The proposed conversion, reverse stock split, and stock authorization are important for the company to de-lever its balance sheet and maintain a viable financial position if the box office recovery falters.