Investors may have a lot more opportunity to sue their boards of directors for mismanagement after a ruling last month in a Delaware opioid case.
The ruling from Delaware Chancery Court, the country's premiere venue for corporate law disputes, was in a case against drug wholesaler AmerisourceBergen that centered on allegations its reckless opioid selling damaged the company's stock price. The court found that investors can introduce evidence of mismanagement dating back years—a much longer time period than AmerisourceBergen had wanted.
Bloomberg Law reporter Jennifer Kay wrote a story about the implication of this ruling on shareholder suits and on corporate accountability. She spoke about these topics to Washington & Lee University School of Law professor Carliss Chatman on our weekly legal news podcast, On The Merits.
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