X
07Oct

Fraud on the Board II: Conflicted CEO Tilts Company Sale in PE Firm’s Favor

Troutman Pepper | | Return|
In In re Mindbody, Inc. Stockholders Litigation, the Delaware Court of Chancery declined to dismiss breach of fiduciary duty claims against the chief executive officer of MINDBODY, Inc. (the Company) arising out of the Company’s 2019 sale to private equity firm Vista Equity Partners. In what is becoming an increasingly common claim in M&A litigation, the court found it reasonably conceivable that the CEO, unbeknownst to the Company’s board of directors, favored Vista in the sale process due to...
By: Troutman Pepper
Source Url: https://www.jdsupra.com/legalnews/fraud-on-the-board-ii-conflicted-ceo-20558/

Related

UPDATE - Columbia, South Carolina Enacts Ban-the-Box Law for City Employers

Seyfarth Synopsis: The Columbia, South Carolina Mayor Steve Benjamin has signed a new law prohibitin...

Read More >

The Guide to M&A Arbitration, Second Edition - UK

Frequency of M&A disputes - Despite a slowdown in activity from the second half of 2018 caused by ...

Read More >

[Video] Looking Ahead at 2020’s Labor and Employment Hot Topics

2019 was a busy year for new developments in labor and employment law, and 2020 is shaping up to be ...

Read More >

NY is the New CA: 11 Employment Laws You Missed if You Blinked in the First Half of 2019

As 2019 wears on, New York has continued to churn out new employment laws and regulations that appea...

Read More >

U.S. Department of Labor Rings in the New Year with New Opinion Letters Regarding FMLA and the FLSA

The U.S. Department of Labor (DOL) issued three opinion letters on January 7, 2020—one addressing t...

Read More >

New York State Releases Guidance on Salary History Ban

New York’s salary history ban (“Law”) becomes effective today, January 6, 2020. To help employers...

Read More >