The Court of Chancery recently denied a request for attorneys’ fees that were sought pursuant to the corporate benefit doctrine despite a successful suit under Section 211 of the Delaware General Corporation Law (DGCL) to compel a company to hold an annual meeting. In Martin v. Harbor Diversified, Inc., C.A. No. 2018-0762-SG (Del. Ch. Feb.
corporate benefit doctrine
Chancery Rejects Motion for Attorneys’ Fees Based on Complaint Mooted by Actions of Board
By Francis Pileggi on
Posted in Chancery Court Updates
Freedman v. Adams, C.A. No. 4199-VCN (Del. Ch. March 30, 2012).
Issue Addressed
The Court of Chancery addressed the standard for awarding attorneys’ fees when there has been a stipulated dismissal of a derivative action which was largely mooted by measures taken by the defendant board of directors shortly after the complaint was served.
Background…