The Delaware Court of Chancery, in Robert Elburn v. Robert C. Albanese, et al. and Investors Bancorp, Inc., C.A. No. 2019-0774-JRS, memo. op. (Del. Ch. Apr. 21, 2020), found the particularized pleading requirement for demand futility under Ct. Ch. R. 23.1 should mirror the standard for pleading fraud by omission with contextually dependent particularity under Ct. Ch. R. 9(b).
NEW: Morris James discusses the decision in Chancery Provides Guidance on Rule 23.1 “With Particularity” Pleading Standard in Continuing Investors Bancorp Stock Awards and Options Dispute.
K&L Gates discusses the decision in Delaware Court of Chancery Interprets “Sufficient Particularity” Pleading Standard Under Rule 23.1.
Sheppard Mullin discusses the decision in Delaware Court of Chancery Addresses Pleading ‘With Particularity’ Under Rule 23.1.
Stinson discusses the decision in Court Denies Bid for New Election as a Result of Misleading Disclosures on Restricted Stock Awards.