Thomson Reuters has an article by Tom Hals here about a objection filed by a lead plaintiff to the proposed settlement and the amount of attorneys fees requested by class counsel in a class action settlement involving the J. Crew Group Inc. The objecting plaintiff/shareholder also wants the court to fire class counsel. According to the article linked above, the proposed settlement provides an additional $16 million for shareholders who challenged whether the sales price was high enough in the contested deal. The article adds that: “While the defendants agreed to the eventual settlement, they are opposed to the request for $9 million of fees sought by the plaintiffs’ attorneys.”
The matter will be heard today in the Delaware Court of Chancery by Chancellor Strine. The case is captioned: In Re J. Crew Group Inc. Shareholder Litigation, Delaware Chancery Court, No 6043. Professor Davidoff provided background and analysis on this case several months ago in a post available here.
UPDATE: Tom Hals of Thomson Reuters has an updated article available here, and Bloomberg also reports here that the settlement was approved today. Though not in the Bloomberg article, Thomson Reuters explains that the fee amount was reduced prior to the hearing (by consent of the defendants), and that the court excluded from the settlement the plaintiff/shareholder who objected to the settlement. More details and links to court filings are available here in a story by Alison Frankel of Thomson Reuters.