We heard you!
Your business is moving fast. You need to assess new developments quickly, determine if they apply to your business, and act accordingly. The Ticker is designed to focus your attention on key developments in the areas of SEC compliance, capital markets, corporate governance, executive compensation and other matters important to public companies and their officers and directors. Below are summaries of recent developments in these areas.
Until recently, nearly 95 percent of M&A deals triggered shareholder litigation. However, as noted in The New York Times, a Delaware court crackdown on disclosure-only settlements in takeover litigation has driven the current litigation rate to less than 22 percent. Since judicial blessing of forum selection bylaws in 2010, multi-jurisdictional shareholder suits have declined significantly, allowing Delaware courts to reject cases more freely. This, in turn, allowed Delaware courts to take a stand against disclosure-only settlements (those requiring only that the defendant company disclose more about the transaction), which have constituted the vast majority of all M&A litigation settlements. Read more in The New York Times.