Court Allows Tesla Dissenting Shareholder Suit to Go Forward

BVLaw
Court Case Digests
March 28, 2018
3711 Motor Vehicles and Passenger Car Bodies
336111 Automobile Manufacturing
dissenting shareholder
breach of fiduciary duty, cash flow, discounted cash flow (DCF), entire fairness, merger, minority interest, acquisition, controlling shareholder, projections, debt, business judgment

In re Tesla Motors Stockholder Litig.
2018 Del. Ch. LEXIS 102
US
State Court
Delaware
Court of Chancery of Delaware
N/A (plaintiffs); N/A (defendant)
Slights

Summary

Court of Chancery says Tesla dissenting shareholders allege sufficient facts to show company CEO, Elon Musk, was a controlling shareholder, despite holding a minority interest; court allows breach of fiduciary claims concerning acquisition of related company to proceed.

See Also

In re Tesla Motors Stockholder Litig.

Court of Chancery says Tesla dissenting shareholders allege sufficient facts to show company CEO, Elon Musk, was a controlling shareholder, despite holding a minority interest; court allows breach of fiduciary claims concerning acquisition of related company to proceed.