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In re Caremark International Inc. Derivative Litigation, 698 A.2d 959 (Del. Ch. 1996), [1] is a civil action that came before the Delaware Court of Chancery. It is an important case in United States corporate law and discusses a director's duty of care in the oversight context. It raised the question regarding compliance, "what is the board's ...
Vice Chancellor Leo E. Strine Jr. wrote the opinion of the court. The Delaware Court held that the derivative claim, based on insider trading, against Oracle Corp CEO Larry Ellison could proceed. The director had personal ties, and so a decision by the board to reject the claim could not be conclusive.
Van Gorkom 488 A.2d 858 (Del. 1985) [1] is a United States corporate law case of the Delaware Supreme Court, discussing a director's duty of care. It is often called the "Trans Union case" . Van Gorkom is sometimes referred to as the most important case regarding business organizations because it shows a unique scenario when the board is found ...
The court was one of the original 13 courts established by the Judiciary Act of 1789, 1 Stat. 73, on September 24, 1789. From its establishment until 1946, the court had a single judge. A temporary additional judgeship was authorized on July 24, 1946, by 60 Stat. 654, and was made permanent on September 5, 1950, by 64 Stat. 578.
The Delaware Supreme Court held that a "special litigation committee" would not automatically be regarded as independent. However in this case the board could not be sued for breach of fiduciary duty, and on the facts the committee was competent to reject the demand for a derivative suit, despite being appointed by the board.
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In re Citigroup Inc Shareholder Derivative Litigation, 964 A 2d 106 (Del Ch 2009) is a US corporate law case, concerning the standard under Delaware law for the duty of loyalty among directors' duties.
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