In a recent opinion issued by the Delaware Court of Chancery, Freeman Family LLC v. Park Avenue Landing LLC, C.A. No. 2018-0683-TMR (Del. Ch. Apr. 30, 2019), Vice Chancellor
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Advancement
Discovery Limited into Reasonableness of Fees Until Right to Advancement Established
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In the recent bench ruling entered in Harrison v. Quivus Systems LLC, C.A. 12084-VCMR (April 7, 2016), Vice Chancellor Montgomery-Reeves ruled that discovery into the reasonableness of fees sought…
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Advancement: “Fees on Fees” Do Not Accrue Until Required Undertaking Submitted
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In a recent opinion by the Court of Chancery’s newest judicial officer, Vice Chancellor Slights, the Court considered the issue of when “fees on fees” begins to accrue in connection…
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Advancement Rights – “By Reason of the Fact” Standard Discussed
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In a prior post, we discussed the “by reason of the fact” requirement in Delaware advancement proceedings. In that post, we addressed the decision of Lieberman v. Electrolytic Ozone, …
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Chancery Grants Advancement in Tulum, Along with Fees on Fees
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The recent, pithy decision of Tulum Management USA LLC v. Casten, C.A. No. 11321-VCN (Del. Ch. Dec. 23, 2015) involved a request for advancement by plaintiff George Polk against…
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Stay Denied in Advancement Case
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In the recent decision of Tulum Management USA LLC v. Casten, C.A. No 11321-VCN (Del. Ch. Nov. 9, 2015), Vice Chancellor Noble declined a party’s request to stay a…
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Advancement for Intervention Permitted
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Not uncommonly, a former director or officer of a Delaware corporation will bring a claim for advancement against the company to defend his or herself in a lawsuit arising “by…
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Advancement Claim Denied by Court of Chancery
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In the most recent advancement decision issued by the Court of Chancery, Charney v. American Apparel Inc., C.A. No. 11098-CB (Del. Ch. Sept. 11, 2015), the Court declined to grant…
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Advancement Claim Denied – “By Reason of the Fact” Standard Analyzed
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Under Section 145 of the Delaware General Corporation Law (“DGCL”), claims for indemnification or advancement by a director or officer of a corporation must relate to lawsuits or proceedings “by…
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Advancement – Court Rejects Contractual Requirement that Fees on Fees be Paid Even if Claim is Unsuccessful
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Often times, a Delaware company will provide its directors and officers with advancement and indemnification to the fullest extent allowed under Delaware law, as a means to attract qualified individuals…
Continue Reading Advancement – Court Rejects Contractual Requirement that Fees on Fees be Paid Even if Claim is Unsuccessful