The Delaware Court of Chancery, in Southeastern Pennsylvania Transportation Authority, et al. v. Facebook, Inc., C.A. No. 2019-0228-JRS, memo. op. (Del. Ch. Oct. 29, 2019), found that books and records were not necessary to investigate an issue that defendant company stipulated directors did not consider when setting executive compensation.
NEW: K&L Gates discusses the decision in Books and Records: Court Explains a Failure to Clear the Sometimes Deceptively Challenging Credible Basis Hurdle.
Morris James discusses the decision in Chancery Denies Section 220 Bid for Executive Compensation Records Involving Facebook.
Wilson Sonsini discusses the decision in Delaware Court of Chancery Issues Noteworthy Decision Denying Section 220 Demand and Reinforcing Judicial Deference on Executive Compensation Decisions.
[$$$] Bloomberg Law discusses the decision in Case: Executive Compensation/Unjust Enrichment (Del. Ch.).