Category Archives: Shareholder Disputes
Does A Court Have To Hear A Shareholder Derivative Lawsuit In Florida?
A shareholder derivative lawsuit is a legal action initiated by one or more shareholders of a company on behalf of the company against a third party, typically its officers and directors, for alleged wrongdoing. In a derivative lawsuit, the shareholder acts as a representative of the company and brings the lawsuit against the alleged… Read More »
Florida Court Backlog Leads To Spike In Alternative Dispute Resolution (ADR); Could Be A Good Option For Shareholder Disputes
According to a report from Law.com, there is a serious backlog in the courts in Florida. Driven by the fallout from COVID-19 related delays and a wide range of other factors, many legal observers expect it to take several years to clear the backlog. One consequence of the court backlog is that more parties… Read More »
Wells Fargo Agrees To Pay $300 Million To Resolve Shareholder Lawsuit
According to a report from Fox Business, Wells Fargo—the San Francisco-based financial services giant—has agreed to pay approximately $300 million to settle a shareholder lawsuit. The settlement is focused on issues related to auto insurance disclosures. Wells Fargo was sanctioned by U.S. regulators for consumer protection violations related to its auto insurance business. Here,… Read More »
Activision Prevails In Shareholder Lawsuit Over Alleged Workplace Discrimination
According to a report from Courthouse News Service, Activision—the Santa Monica, CA based video game publisher—has prevailed in a shareholder lawsuit. The claim, which was filed by a group of pension funds based in New York State, alleged that the company engaged in workplace discrimination—thereby damaging their financial interests. The lawsuit was dismissed on… Read More »
Autonomous Trucking Company Faces Shareholder Lawsuit
According to a report from Law.com, Embark—an autonomous trucking company with a main headquarters in San Francisco, California—is facing a lawsuit from shareholders. The lawsuit alleges that materially misleading statements were made to investors. Here, our West Palm Beach shareholder dispute attorney discusses the allegations raised in shareholder lawsuit in more detail. Allegations Raised… Read More »
Can Shareholders Access All Corporate Records In Florida?
The right to access and inspect corporate records is one of the most fundamental rights that shareholders have in Florida. This raises an important question: Can a shareholder access every record held by the corporation? The short answer is no—although shareholders have broad inspection rights, there are limits on their ability to review corporate… Read More »
Home REIT Faces Lawsuit From Shareholders
According to a report from QuotedData, Home REIT—a real estate investment company—is facing a lawsuit from shareholders. The plaintiffs contend that corporate leadership of Home REIT made improper material misrepresentations to investors, including using funds in a manner that was contrary to their representations. The company’s publicly traded share price is down significantly over… Read More »
Preliminary Settlement: Dell Will Pay $1 Billion To Resolve Class Action Shareholder Lawsuit
According to a report from Reuters, Dell—the Texas-based technology giant—has agreed to pay approximately $1 billion as part of a class action shareholder lawsuit settlement. The settlement agreement, which still needs to be approved by the Delaware Chancery Court, comes after the company was accused of “short-changing” shareholders as part of a 2018 stock… Read More »
CV Sciences Prepared To Settle Shareholder Derivative Lawsuit
According to a report from Natural Product Insider, CV Sciences—a hemp industry and alternative health company with a main headquarters in California—is on the verge of settling a shareholder derivative lawsuit. The preliminary settlement of the derivative claim still needs to be approved by a federal judge in Nevada. Here, our West Palm Beach… Read More »
McKesson Corporation Will Pay Shareholders More Than $140 Million In Drug Pricing Case
According to reporting from Reuters, McKesson Corporation—a healthcare company with a main headquarters in Irving, Texas—will pay approximately $140 million to resolve a lawsuit brought by shareholders in a drug pricing case. The preliminary agreement still requires court approval. Here, our Miami shareholder dispute attorney highlights the key things to know about the lawsuit…. Read More »
Three Years Later, Court Allows Class Action Shareholder Lawsuit To Proceed Against Sonus
According to Reuters, the United States District Court for the District of Massachusetts will allow a class action shareholder lawsuit against Sonus Networks Inc.—the cloud-based communications company that went on to merge with Ribbon Communications US LLC—to proceed. The shareholder lawsuit is especially notable because it has been three years since the latest claim… Read More »
Credit Suisse Settles Major U.S. Shareholder Lawsuit
According to a report from Reuters, Credit Suisse—the multinational investment banking company with a main headquarters in Zürich, Switzerland—has reached a preliminary settlement in a U.S. shareholder lawsuit. The company will pay nearly $33 million to resolve a class action shareholder lawsuit. The settlement still needs the approval of a federal judge in New… Read More »
Goldman Sachs Reaches A Nearly $80 Million Settlement In A Shareholder Derivative Lawsuit
According to a report from Bloomberg Law, the investment banking company Goldman Sachs has agreed to pay nearly $80 million to resolve a shareholder derivative lawsuit. The dispute is related to a bribery scandal centered around the troubled and insolvent strategic management company 1Malaysia Development Berhad (1MDB). Within this article, our Miami shareholder dispute… Read More »
Four Things You Need To Know About Shareholder Disputes Under Florida Law
A shareholder of a corporation is an entity—an individual, a company, etc—that owns a stake in the business. Minority shareholders do not have direct control over how a business is operated. As a consequence, they have to put their faith into the hands of other parties. Disputes between corporations and their shareholders can arise… Read More »
AstraZeneca Prevails In COVID-19 Vaccine Shareholder Lawsuit
According to a report from Reuters, AstraZeneca—the multinational pharmaceutical and biotechnology company based in Cambridge, England—has prevailed in a shareholder lawsuit. The shareholder claim was centered around alleged lack of disclosures regarding the company’s COVID-19 vaccine. In this blog post, our Miami shareholder dispute attorney provides a more detailed explanation of the dismissal of… Read More »
Bed Bath & Beyond Faces Shareholder Lawsuit After Tragic Suicide Of Company’s CFO
In early September, Gustavo Arnal, the Chief Financial Officer (CFO) of Bed Bath & Beyond committed suicide in a tragic incident in New York City. According to a report from Fox Business, the troubled retailer is now the focus of a shareholder lawsuit. Here, our Miami shareholder dispute attorney provides a more comprehensive overview… Read More »
Fat Brands Will Pay $3 Million To Resolve A Shareholder Lawsuit
According to a report from Restaurant Business Magazine, Fat Brands—a Beverly Hills, CA restaurant conglomerate that owns major national and regional brands such as Fatburger and Johnny Rockets—will pay $3 million ($2.5 million in cash, $500,000 in stock) to settle a lawsuit from a shareholder. The underlying claim was related to the company’s alleged… Read More »
Federal Courts Upholds Wendy’s Shareholder Settlement Over 2015 Data Breach
According to a report from Bloomberg Law, Thomas Caracci, a shareholder of Wendy’s Co., has lost in his attempt to get a shareholder settlement thrown out. The United States Court of Appeals for the Sixth Circuit determined that a lower court was within its discretion when it approved a settlement of a shareholder derivative… Read More »
The Business Judgment Rule: Understanding Its Meaning, Implications, And Exceptions
Through an individual shareholder lawsuit or a derivative shareholder lawsuit, a shareholder may be able to hold a corporation’s officers or directors legally responsible for damages. That being said, there is a well-established judicial doctrine in the United States called the business judgment rule that provides significant legal protection to corporate officers and directors…. Read More »
Where Do I File A Shareholder Lawsuit?
Unless you have majority control over a corporation, your interests as a shareholder are heavily dependent on the conduct of other parties. Your ability to take legal action against the majority shareholder, corporate officers/directors, and even the company itself is a potentially powerful legal remedy. This raises an important question: Where do you file… Read More »
