On March 18, 2020, the Delaware Supreme Court issued its long-awaited decision in the case of Salzberg v. Sciabacucchi (a copy of the decision can be found here). The unanimous decision ruled that federal forum provisions (provisions in Delaware corporations’ charters requiring actions arising under the federal Securities Act of 1933 to be filed in […]
On March 20, 2018 the United States Supreme Court issued a unanimous ruling in Cyan, Inc. v. Beaver County Employees Retirement Fund. In short, the ruling confirms that claims alleging violations under the Securities Act of 1933 (the ’33 Act) can continue to be brought in state court, and that such cases brought in state […]
The IPO market for the first half of 2017 saw 77 companies raise $20.5B in proceeds. The secondary market was $22B in volume for the same period, and on track toward $40B in volume for the year. Given the increase and strategic importance of this market, the ABD Team sponsored a panel discussion on “Secondary […]
The ABD Team recently hosted The Women’s General Counsel Network (“WGCN”), to discuss the Trump’s Administration effect on companies. The WGCN is an invitation-only group dedicated to supporting its high-achieving members through a peer network. The WGCN sought to understand Trump Administration changes currently in the pipeline from a health care perspective and a director […]
General counsels of tech and biotech companies are usually brought into D&O issues by the executive team when there is a pressing issue such as a lawsuit against the company or inquiries from the Board of Directors. Understanding this dynamic, ABD provided a platform to help general counsels understand common misconceptions of D&O policies and […]
On August 5, 2014, The US Department of Labor (DOL) announced that LinkedIn has agreed to pay $6M ($3.3M in actual back wages, $2.5M in damages) following an investigation of unpaid overtime. However, the issue at hand was not the classic question of exempt versus non-exempt status, but one of recordkeeping. In 2004, Electronic Arts […]
Each side is claiming victory after the Supreme Court’s ruling of Halliburton v. Erica P. John Fund. The Court ruled that corporations have the chance to fend off class certification of a securities class action suit, with evidence that their stock price was not affected by their misrepresentation. We first blogged about Halliburton in January […]
For years, the insurance industry has been pitching standalone Side A DIC coverage to protect company boards. The policy remains a highly profitable product line for carriers due to extremely low claim payouts. The original idea behind buying Side A on a standalone basis was since the entity is not an Insured under the Side […]
The Supreme Court of the United States is set to hear Halliburton v. Erica P. John Fund, Inc. this spring with a ruling expected late summer or fall. If defendants win, federal securities class actions could be eliminated in most circumstances. This would materially reduce the exposure to directors and officers and insurance carriers providing […]
After several years of softening D&O Insurance rates, we saw a gradual firming in the marketplace begin about two years ago. Many technology and life science companies experienced flat to 10% increases at renewal compared to similarly sized reductions of the past. This trend has largely continued except for IPO companies who have seen rates […]
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