Shareholder Merger Litigation
Faruqi & Faruqi, LLP places special emphasis on prosecuting shareholder class actions brought nationwide against officers, directors and other parties responsible for corporate wrongdoing. Most of these cases are based upon state statutory or common law principles involving fiduciary duties owed to investors by corporate insiders as well as Exchange Act violations. Faruqi & Faruqi, LLP has obtained significant monetary and therapeutic recoveries, including millions of dollars in increased merger consideration for public shareholders; additional disclosure of significant material information so that shareholders can make informed decision regarding a buyout and other types of therapeutic relief designed to increase competitive bids and protect shareholder value. As noted by Judge Timothy S. Black of the United States District Court for the Southern District of Ohio in appointing lead counsel Nichting v. DPL Inc., Case No. 3:11-cv-14 (S.D. Ohio), "[a]lthough all of the firms seeking appointment as Lead Counsel have impressive resumes, the Court is most impressed with Faruqi & Faruqi.”
As class counsel Faruqi & Faruqi, LLP has had many successes: Kajaria v. Cohen, No. 1:10-CV-03141 (N.D. Ga., Atlanta Div.)(obtaining additional disclosure by court order regarding the Bluelinx Holdings Inc., tender offer); In re Bausch & Lomb Inc. Buyout Litig., Index No. 07/6384 (N.Y. Supr. Ct., Monroe Cty. 2008) (obtaining disclosure to shareholders of critical material information concerning its merger with Warburg Pincus LLC); Rice v. Lafarge North America, Inc., et al., No. 268974-V (Montgomery Cty., Md. Circuit Ct.)(obtaining a price increase with the special committee in the Lafarge North America (“LNA”) buyout in the amount of $388 million); In re: Hearst-Argyle Shareholder Litig., Lead Case No. 09-Civ-600926 (N.Y. Sup. Ct.)(obtaining a price increase in coordination with the special committee of over 12.5%, or $8,740,648 in the Hearst-Argyle’s buyout); In re Alfa Corp. Shareholder Litig., Case No. 03-CV-2007-900485.00 (Montgomery Cty, Ala. Cir. Ct.)( obtaining a price increase in coordination with the special committee in the Alfa buyout to $22.00 from the originally-proposed $17.60 per share offer (160 million in the aggregate) as well as additional proxy disclosures); In re Fox Entertainment Group, Inc. S'holders Litig., Consolidated C.A. No. 1033-N (Del. Ch. 2005)(obtaining a price increase in coordination with the special committee of $450 million in the Fox Entertainment buyout); In re Howmet Int’l S’holder Litig., Consolidated C.A. No. 17575 (Del. Ch. 1999) (coordinating with Howmet’s special committee obtained an increased benefit of $61.5 million dollars for the shareholders).
Lastly, Faruqi & Faruqi, LLP, is committed to bringing novel post close cases in Delaware Chancery Court to seek damages as a result of an unfair buyout and has recently handled a number of high profile cases such as In re Smurfit-Stone Container Corp. Shareholder Litigation, Consol. C.A. No. 6164-VCP (Del. Ch. March 24, 2011); In re Cogent S’holder Litig., C.A. No. 5780-VCP (Del. Ch. 2010); In re Massey Energy Company Derivative and Class Action Litig., C.A. No, 5430-CS (Del. Ch. 2010); In re Novell, Inc. S’holder Litig., Consol. C.A. No. 6032-VCN (Del. Ch. 2010); In re Playboy Enterprises, Inc. S’holders Litig., Consol. C.A. No. 5632-VCN (Del. Ch. 2010); In re MFW S’holder Litig., Consol. C.A. No. 6566-CS (Del. Ch. 2011); In re BJ’s Wholesale Club, Inc. S’holders Litig., Consol. C.A. No. 6623-VCN (Del. Ch. 2011); In re Morton’s Restaurant Group, Inc. S’holder Litig., Consol. C.A. No. 7122-CS (Del. Ch. 2011).