Tag Archives: Shareholder Derivative Actions

Judge Sweet Rejects Shareholder Derivative Settlement With Hollow Governance Reforms

In an opinion Thursday, Judge Sweet rejected a proposed settlement of a shareholder derivative case because the consideration for the settlement consisted of three corporate governance reforms that were all but meaningless, such as a commitment to vague and unspecified “training” and a commitment to maintain the same ethics code that existed all along and … Continue Reading

Judge Crotty Dismisses Derivative Action against JP Morgan Executives Based on Recent Multi-Billion Dollar Settlements

In a ruling yesterday, Judge Crotty dismissed a derivative action against fifteen JP Morgan Chase current and former executives and board members, including bank chief Jamie Dimon. The complaint alleged that that JP Morgan was damaged by six recent, high profile settlements with government agencies and private litigants that cost the firm billions. The plaintiff, … Continue Reading

Judge Oetken Concludes That Dropped Suit Did Not Cause Pay Changes at Citibank, Denies $6 Million Fee Request

In an opinion issued this morning, Judge Oetken denied a $6 million fee request from lawyers that voluntarily dismissed a suit charging Citi with awarding excessive compensation. The suit was filed after Citi’s shareholders, in a non-binding “say-on-pay” vote, rejected Citi’s proposed executive compensation plan for 2011. The lawyers argued that the suit caused certain … Continue Reading
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