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Delaware Supreme Court Rules on Impact of Seller’s Actions in Response to COVID-19 in M&A Transaction

Key Points - On December 7, 2021, the Delaware Supreme Court unanimously upheld the Court of Chancery’s decision in AB Stable VIII LLC v. MAPS Hotels and Resorts One LLC, finding that certain actions taken by the Seller...more

Recent SPAC Shareholder Suits in New York State Courts: The Beginning Wave of SPAC Litigation

Key Points - Between September 2020 and March 2021, at least 35 SPACs have been hit with one or more shareholder lawsuits filed in New York state court. - These lawsuits generally allege that SPAC directors breached...more

Delaware Court of Chancery Issues Precedential Decision Addressing the Impact of COVID-19 on M&A Transaction, Finding Violation of...

In AB Stable VIII LLC v. Maps Hotels and Resorts One LLC, the Delaware Court of Chancery issued a precedential decision addressing whether a buyer could walk away from an M&A transaction because the target company’s responses...more

Second Circuit Provides Guidance on Delegation of Beneficial Ownership in Short-Swing Trading Case Brought Under Section 16 of the...

In a recent precedential decision, the 2nd Circuit held that funds could delegate beneficial ownership to their investment managers, thereby eliminating the funds’ disgorgement liability under Section 16(b) of the Securities...more

Second Circuit Holds Section 16 Plaintiff Needs to Identify an Issuer-Specific Agreement to Establish Creation of a Group Among...

- The 2nd Circuit has affirmed two lower court decisions dismissing complaints alleging violations of Section 16(b) of the Securities Exchange Act. In so holding, the 2nd Circuit ruled that an investment advisor’s client does...more

Higher Education Institutions Should Prepare for Fallout from COVID-19

- Universities across the country have shuttered their campuses and moved classes online in reaction to the novel coronavirus outbreak, but may be the targets of class actions from students as a result. - Public and...more

Bargained-For Consent: An Increasingly Viable Defense to TCPA Claims

• In most TCPA cases, a threshold question is whether a called party has provided prior express consent to receive calls (or texts) using an automatic telephone dialing system. • While numerous courts have ruled that a party...more

ACA International v. F.C.C., et al.

• The D.C. Circuit reviewed a 2015 FCC order that interpreted the TCPA’s prohibition against using automated dialing devices to make unsolicited calls to cellular telephones. The court set aside two portions of the 2015 Order...more

U.S. Department of Justice Will Likely Become More Active in Reviewing Proposed Class Action Settlements

• The DOJ has streamlined its process for reviewing CAFA settlement notices. • The DOJ will likely become more aggressive in reviewing class action settlements for fairness, reasonableness and conformity with DOJ policy...more

Judge Dismisses Nationwide Class Claims for Lack of Jurisdiction Following Bristol-Myers

• A judge in the Northern District of Illinois held that the U.S. Supreme Court’s decision in Bristol-Myers Squibb Co. v. Superior Court of California, 137 S. Ct. 1773 (2017) is applicable to personal jurisdiction...more

A New Wave of Class Actions Against Banks and Credit Card Companies? The CFPB’s New Rule and Its Likelihood for Survival

The CFPB was created by Dodd-Frank legislation in 2010, and, among other things, was tasked with studying and issuing a report on arbitration agreements in the financial products sector (e.g., bank accounts, credit card...more

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