Cases

Corporate Takeover Litigation

When a proposed merger, acquisition, or buyout of a public company is announced, shareholders have the right to—and should—demand that directors and officers pursue a fair process in negotiating a deal that provides shareholders with a fair value for their investments.

When corporate fiduciaries fail to maximize shareholder value in negotiating corporate transactions, shareholders can bring a direct class action to demand, among other things:

  • Additional consideration or a higher price
  • More favorable deal terms
  • Statutory appraisal rights
  • The chance for other bidders to present superior offers
  • The disclosure of material information to allow shareholders to make an informed decision on whether to vote in favor of the deal.

Our Experience in Corporate Takeover Litigation

Motley Rice represents shareholders involved in corporate mergers, acquisitions, “going private” buyouts and similar transactions.  Our attorneys have experience litigating these cases by seeking both preliminary injunctive relief and post-transaction damages claims.

During the last few years alone, our firm has helped investors recover funds through mergers and acquisitions (M&A) litigation, including a $9 million recovery for shareholders following the acquisition of Winn-Dixie Stores, Inc. by BI-LO, LLC; a $4 million recovery for shareholders following the going-private buyout of Allion Healthcare, Inc.; and a $2.5 million recovery for shareholders following the buyout of RehabCare Group, Inc. by Kindred Healthcare, Inc.*

Motley Rice attorneys have also represented shareholders of public companies and obtained preliminarily injunctions by the Delaware Court of Chancery of M&A transactions involving Atheros Communications, Inc., PLATO Learning, Inc., and Lear Corp.  These preliminary injunctions required the defendant companies to disclose additional information to shareholders ahead of the vote on the merger in order to ensure that shareholders could cast fully informed votes on the proposed transactions.*

*Prior results do not guarantee a similar outcome.

CORPORATE TAKEOVER CASE HIGHLIGHTS

  • In re Winn-Dixie Stores, Inc. Shareholder Litigation
  • In re The Shaw Group, Inc., Shareholders Litigation
  • In re Allion Healthcare, Inc. Shareholders Litigation
  • In re RehabCare Group, Inc. Shareholders Litigation
  • In re Atheros Communications Inc. Shareholder Litigation
  • Maric Capital Master Fund, Ltd. v. PLATO Learning, Inc.
  • In re Coventry Health Care, Inc. Securities Litigation
  • In re Lear Corporation Shareholder Litigation
  • Helaba Invest Kapitalanlagegesellschaft mbH v. Fialkow (regarding National Home Health Care Corp.)
  • Schultze Asset Management, LLC v. Washington Group International, Inc.

Contact a Corporate Takeover Attorney

To discuss a potential lawsuit concerning a corporate merger, acquisition, leveraged buyout or other transaction, contact attorney Bill Narwold by email or call 1.800.768.402

*Prior results do not guarantee a similar outcome.

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