Mergers and Acquisitions Litigation
In recent years, it has become commonplace for a merger or acquisition involving a public company to be followed by shareholder suits alleging disclosure violations, accounting irregularities, stock price manipulation, or breach of fiduciary duty by the directors in connection with the transaction.
The attorneys in Stradling’s securities litigation and enforcement practice group have significant expertise in defending such suits and take a vigorous and strategic approach from the very start to prevent the litigation from stopping the merger.
Stradling’s team members have successfully represented clients in state and federal courts around the country, including Delaware Chancery Court. We pride ourselves in never letting shareholder claims interfere with proposed transactions; we get involved early in our clients’ transactions to build in defenses and create the best record possible to defend our clients’ objectives.
Our litigators also work with the firm’s transactional attorneys and clients to ensure they follow the best practices and make the necessary disclosures to prevent shareholder suits or increase the likelihood they will be dismissed in the pretrial stage.
Our attorneys also have extensive experience in other types of litigation arising from mergers and acquisitions, including:
Challenges to “poison pills” or other defenses
Disputes over allocation of proceeds among shareholder classes
Disputes over “earn-out” provisions and escrows
Breaches of representations and warranties by the buyers or sellers of public and private companies
Allegations of fraud in the inducement