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Delaware
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March 13, 2025
Host Co. Can't Force Bitcoin Miner From Pa. Property, For Now
A western Pennsylvania bitcoin mining venture won a temporary restraining order in Delaware's Court of Chancery Thursday in a ruling that barred a hosting company from continuing to use or block access to more than 20,000 mining systems that had been installed for the tenant operation.
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March 13, 2025
Judge Hits 'Reset Button' In 3M, DuPont PFAS Cleanup Case
New Jersey's environmental regulators have tried to force EIDP and DuPont Chemours to begin remediation efforts on "forever chemical" contamination at a former facility in Salem County — which is at the center of ongoing litigation — a move that seemingly undermined a federal judge's authority and put in jeopardy a looming May trial date.
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March 13, 2025
Amid Del. Corporate Law Overhaul Push, Texas Turns Up Heat
As Delaware lawmakers advance changes to the state's general corporation law — aimed in part at stopping companies from moving their corporate charters — they are facing increased pressure from their counterparts in Texas, where legislation appears to be on a fast dash in an attempt to convince more businesses to make it their legal home.
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March 13, 2025
Del.'s Divisive Corporate Law Rework Passes In State Senate
Divisive amendments to Delaware's general corporation law cleared the state Senate Thursday with multiple questions but little debate and without dissenting votes, and will now be sent to the House amid warnings that failure to approve could weaken the state's standing as a top corporate charter hub.
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March 13, 2025
Insurers Must Cover Real Estate Cos. In False Claims Dispute
A pair of directors and officers insurers must provide coverage to real estate holding companies in an underlying False Claims Act whistleblower action, a Delaware Superior Court judge ruled, finding that a breach of contract exclusion does not bar coverage.
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March 13, 2025
States Sue To Halt Cuts At Education Dept.
A group of 21 Democratic attorneys general sued the Trump administration Thursday in an effort to halt mass layoffs at the Department of Education, calling it an illegal move that will wreak havoc on states' educational systems.
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March 12, 2025
Del. Justices Told Conflicts Tainted AstraZeneca Co.'s $3B Sale
A stockholder class attorney told Delaware's Supreme Court on Wednesday that a vice chancellor never addressed the undisclosed conflicts cited in a Court of Chancery suit accusing AstraZeneca PLC of lining up a conflicted, underpriced $3 billion sale of clinical stage biopharmaceutical venture Viela Bio Inc.
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March 12, 2025
Law360 Cheat Sheet: Novartis' Fight Over Generic Entresto
Novartis has led a wide-ranging litigation campaign to block generic versions of its bestselling cardiovascular drug Entresto that has involved multidistrict litigation, trips to several circuit courts and cases against the federal government. Here, Law360 breaks down how the various cases intersect and what's still playing out.
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March 12, 2025
Tech Mahindra Urges Justices To Nix White Worker's Bias Suit
Tech Mahindra asked the U.S. Supreme Court to review a Third Circuit's ruling reviving a proposed class action claiming the information technology company favored South Asian employees, arguing it deepened a circuit split by greenlighting a case that should have been time-barred.
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March 12, 2025
Bitcoin ATM Co. Wants TRO Over Unplugged Machines
A bitcoin ATM operator has asked the Delaware Chancery Court to issue a temporary restraining order against a Midwest grocery store chain for allegedly unplugging and covering up ATMs at more than 60 locations, in violation of operating agreements between the parties.
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March 12, 2025
Del. Senate Panel Sends Corp. Law Overhaul To Full Chamber
Delaware legislation that could narrow stockholder opportunities to sue state-chartered corporations for fiduciary duty breaches or access to books and records moved to the state's full Senate on Wednesday after a less than 90-minute committee hearing that leaned toward the bill's supporters.
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March 12, 2025
Del. Justices Uphold LG Co.'s Loss In Firing Challenge
Delaware's top court has backed a Chancery Court ruling that Alphonso Inc., a TV data company majority-owned by an LG subsidiary, was not permitted to push out five co-founders.
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March 12, 2025
Judge Blocks Order Limiting Perkins Coie Government Access
A D.C. federal judge on Wednesday halted enforcement of the Trump administration's executive order against law firm Perkins Coie LLP that cited issues including its representation of Hillary Clinton during her 2016 presidential run, calling the order "viewpoint discrimination, plain and simple."
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March 11, 2025
Musk Opens Del. Appeal To Recover $56B In Tesla Pay
Elon Musk on Tuesday launched his Delaware Supreme Court appeal aimed at a Court of Chancery decision that had short-circuited the electric car company's 10-year, $55.6 billion compensation plan for the celebrity CEO.
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March 11, 2025
Rising Caseloads Call For 71 New Judges: Judicial Conference
The Judicial Conference of the United States on Tuesday asked Congress to create dozens of new judgeships in districts across the country in an effort to address what it calls a "worsening shortage" of judges amid mounting caseloads, months after then-President Joe Biden vetoed a bill to add 63 new permanent judgeships over partisan concerns.
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March 11, 2025
J&J Tells 3rd Circ. No Price Impact In Talc Concealment Suit
Johnson & Johnson urged the Third Circuit on Tuesday to undo class certification of investor claims that the company inflated its stock price by failing to disclose cancer risks associated with its talcum powder products, arguing that the investors could not have relied upon its alleged misrepresentations because there was no impact on the stock market's price.
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March 11, 2025
Weapons Check Co. Sued In Del. After Hyped Reports, Probes
A shareholder of weapons screening system developer Evolv Technologies fired off a derivative suit on the company's behalf in Delaware's Court of Chancery late Monday, seeking recovery of damages arising from allegedly hyped marketing of flawed, artificial intelligence-enabled systems that failed to meet threat detection claims.
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March 11, 2025
Netflix Gets 'Surviving R. Kelly' Libel Suit Tossed, For Now
Netflix Inc. and Lifetime Entertainment Services won dismissal Tuesday of a defamation lawsuit alleging the latest iteration of their hit documentary series "Surviving R. Kelly" defamed a former assistant to the now-imprisoned R&B singer, although a Delaware federal judge gave the plaintiff another shot at pleading actual malice.
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March 11, 2025
BigLaw Firms Join To Support Del. Corporate Law Changes
Twenty-one law firms with Delaware corporate practices have jointly endorsed pending state legislation, S.B. 21, that aims to narrow stockholder avenues for challenging corporate acts and clarify the definition of company controllers.
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March 11, 2025
A Brief Look At Delaware's Divisive Corporate Law Bill
Delaware state Senate Bill 21, up for a Judiciary Committee vote on Wednesday, overturns some provisions of landmark state Supreme Court rulings, from Kahn v. M&F Worldwide Corp. in 2014 to In re Match Group a decade later, which call for plaintiff-friendly entire fairness review for controller transactions.
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March 11, 2025
1st Circ. Upholds Block On Trump's Birthright Citizenship Order
The First Circuit on Tuesday refused to disturb a Massachusetts federal judge's ruling that blocked the Trump administration's move to end birthright citizenship, rejecting the government's claim that states suing over the policy lacked standing.
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March 10, 2025
Justices Seen Resolving Circuit Split Over Med Mal Law
The U.S. Supreme Court said Monday it will decide whether a Delaware medical malpractice statute requiring an expert affidavit can apply in federal court, which experts said will give the justices the opportunity to reassess the so-called Erie doctrine and the relationship between state and federal courts.
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March 10, 2025
Nike Receives $355K From Lululemon In Shoe Patent Trial
A New York federal jury has found that athletic apparel maker Lululemon infringed one Nike footwear manufacturing patent but did not infringe a second, and awarded Nike $355,450 in damages, well below the $2.8 million the shoe giant was seeking.
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March 10, 2025
Viacom And NAI Can Continue Shareholder Coverage Dispute
A Delaware Superior Court judge ruled in companion cases that Shari Redstone, National Amusements Inc. and Viacom Inc. can still seek coverage for millions after underlying shareholder litigation in the wake of Viacom's 2019 CBS merger, determining prior actions were unrelated to the underlying disputes at hand.
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March 10, 2025
Insurer Says CarePoint's Ch. 11 Plan 'Fatally Flawed'
An insurer has asked a Delaware bankruptcy judge to reject CarePoint Health Systems' Chapter 11 plan, saying it is designed to unfairly benefit the debtor's landlord with liability releases.
Expert Analysis
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What Reuters Ruling Means For AI Fair Use And Copyright
A Delaware federal court's recent decision in Thomson Reuters v. ROSS Intelligence is not likely to have lasting effect in view of the avalanche of artificial intelligence decisions to come, but the court made two points that will resonate with copyright owners who are disputing technology companies' unlicensed use of copyright-protected materials to train generative AI models, says David Ben-Meir at Ben-Meir Law Group.
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Chancery Ruling Holds Authorized Share Takeaways For Cos.
The Delaware Chancery Court’s recent ruling in Salama v. Simon resolved statutory ambiguity in favor of boards seeking authorized share increases, and has important implications for litigators presenting extrinsic evidence in support of contract or statutory interpretation arguments, says Robin Wechkin at Sidley.
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Series
Racing Corvettes Makes Me A Better Lawyer
The skills I use when racing Corvettes have enhanced my legal practice in several ways, because driving, like practicing law, requires precision, awareness and a good set of brakes — complete with the wisdom to know how and when to use them, says Kat Mateo at Olshan Frome.
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The Political Branches Can't Redefine The Citizenship Clause
The U.S. Supreme Court’s Wong Kim Ark opinion and subsequent decisions, and the 14th Amendment’s legislative history, establish that the citizenship clause precludes the political branches from narrowing the definition of citizen based on how a parent’s U.S. presence is categorized, says federal public defender Geremy Kamens.
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Bill Would Bring Welcome Clarity To Del. Corporate Law
A recently proposed bill in Delaware that would provide greater predictability for areas including director independence and controlling stockholders reflects prudential adjustments consistent with the state's long history of refining and modernizing its corporate law, say attorneys at Simpson Thacher.
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Opinion
Attorneys Must Act Now To Protect Judicial Independence
Given the Trump administration's recent moves threatening the independence of the judiciary, including efforts to impeach judges who ruled against executive actions, lawyers must protect the rule of law and resist attempts to dilute the judicial branch’s authority, says attorney Bhavleen Sabharwal.
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Appealing An Interlocutory Order On Insurer Duty To Defend
A recent First Circuit decision on a motion regarding an insurer's duty to defend underlying litigation highlights how policyholders may be able to pursue immediate appeals of interlocutory orders, especially in light of other circuit courts' stances on this issue, say attorneys at Anderson Kill.
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Rethinking 'No Comment' For Clients Facing Public Crises
“No comment” is no longer a cost-free or even a viable public communications strategy for companies in crisis, and counsel must tailor their guidance based on a variety of competing factors to help clients emerge successfully, says Robert Bowers at Moore & Van Allen.
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Del. Supreme Court TripAdvisor Ruling May Limit 'MFW Creep'
The Delaware Supreme Court's recent Maffei v. Palkon ruling regarding TripAdvisor's proposed reincorporation to Nevada potentially signals a turning point in the trend of expanding the protections from Kahn v. M&F Worldwide to other types of transactions, says Andrew J. Haile at Elon University.
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As Failure-To-Warn Preemption Wanes, Justices May Weigh In
Federal preemption of state failure-to-warn claims has long been a powerful defense in strict liability tort cases, but is now under attack in litigation over the weedkiller Roundup and other products — so the scope and application of preemption may require clarification by the U.S. Supreme Court, says Michael Sena at Segal McCambridge.
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How Design Thinking Can Help Lawyers Find Purpose In Work
Lawyers everywhere are feeling overwhelmed amid mass government layoffs, increasing political instability and a justice system stretched to its limits — but a design-thinking framework can help attorneys navigate this uncertainty and find meaning in their work, say law professors at the University of Michigan.
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Justices' Certiorari Denial Leaves Interstate Tax Questions
Since the U.S. Supreme Court recently declined to review a Philadelphia resident’s claim that her Delaware state income taxes should be credited against her city wage tax liabilities, constitutional questions about state and local tax distinctions linger, and some states may continue to apply Supreme Court precedent differently, say attorneys at Dentons.
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10 Issues To Watch In Aerospace And Defense Contracting
This year, in addition to evergreen developments driven by national security priorities, disruptive new technologies and competition with rival powers, federal contractors will see significant disruptions driven by the new administration’s efforts to reduce government spending, regulation and the size of the federal workforce, say attorneys at Thompson Hine.
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Del. Justices' D&O Ruling Clarifies 'Related' Claim Analysis
In its recent decision in the Alexion Pharmaceuticals coverage case, the Delaware Supreme Court adopted a "meaningful linkage" standard for relatedness analysis, providing further guidance to Delaware policyholders on how to navigate those directors and officers insurance disputes, say attorneys at Hunton.
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Class Actions At The Circuit Courts: February Lessons
In this month's review of class action appeals, Mitchell Engel at Shook Hardy discusses five federal appellate court class certification decisions and identifies practice tips from cases involving breach of life insurance contracts, constitutional violations of inmates and more.