Chancery Decides Contours of Status Quo Order in Proceeding to Break Deadlock Between Directors and Shareholders

Millien v. Popescu, C.A. No. 8670-VCN (Del. Ch. July 5, 2013).

In this short letter ruling, the Court of Chancery addressed the contours of those portions of a status quo order to which the parties did not stipulate, pending an expedited trial in a proceeding under DGCL section 226 for the appointment of a custodian to break a deadlock between the two directors who also are 50/50 owners of the company’s voting stock. (Full disclosure: the author of this post represents one of the parties in this case.)