The Delaware Court of Chancery, in Mancine Dahle, et al. v. John C. Pope, et al. and R. R. Donnelley & Sons Co., C.A. No. 2019-0136-SG, memo. op. (Del. Ch. Jan. 31, 2020), found stockholder plaintiff’s letter to the board suggesting corrective action regarding director compensation was a litigation demand under Rule 23.1, even though the letter stated that it was not a litigation demand.
NEW: K&L Gates discusses the decision in Court of Chancery Dismisses Excessive Pay Claims.
Morris James discusses the decision in Chancery Follows Recent Precedent Finding Pre-Suit Correspondence to be a Litigation Demand, Dismisses Derivative Complaint for Failure to Allege Wrongful Refusal.
Bloomberg Law discusses the decision in R.R. Donnelley Directors Duck Derivative Suit Over Compensation.