Key takeaway: The Supreme Court held that to state an ERISA prohibited-transaction claim under 29 U.S.C. § 1106(a), a plaintiff needs only to plausibly allege the elements contained in § 1106(a) itself and does not need to...more
4/21/2025
/ Affirmative Defenses ,
Appeals ,
Benefit Plan Sponsors ,
Class Action ,
Employee Retirement Income Security Act (ERISA) ,
Employment Litigation ,
Federal Rules of Civil Procedure ,
Fee-Shifting ,
Fiduciary Duty ,
Pleading Standards ,
Prohibited Transactions ,
Retirement Plan ,
Rule 11 ,
SCOTUS ,
Split of Authority
On January 30, 2024, the Chancellor of the Delaware Court of Chancery struck down the $55.8 billion compensation plan that Tesla, Inc.’s board of directors had granted to Tesla’s well-known CEO, Elon Musk, finding that the...more
2/7/2024
/ Board of Directors ,
Breach of Duty ,
Business Judgment Rule ,
Compensation Committee ,
Conflicts of Interest ,
Controlling Stockholders ,
Corporate Counsel ,
Elon Musk ,
Entire Fairness Standard ,
Executive Compensation ,
Fiduciary Duty ,
Independent Directors ,
Shareholder Litigation ,
Tesla