Chancery Approves Class Action Settlement of Claims Of Inadequate Disclosure in Tender Offer
MARIE RAYMOND REVOCABLE TRUST v. MAT FIVE LLC, (Del. Ch., Dec. 19, 2008), read opinion here. The Chancery Court in this 39-page decision approved a class action settlement regarding claims of inadequate disclosure in a tender offer. Included in the opinion is the court's exercise of its own business judgment in connection with approving the settlement--especially in light of the severe financial crisis in the world markets that serves as the backdrop for the transactions involved.
The Court also addressed a Motion to Intervene under Rule 24 for purposes of objecting (by the plaintiff in the New York case who was excluded from the current settlement expressly.) The court denied the motion. Also decided was class certification under Rule 23.
