More Valuation Data Do Not Ensure Fair Class Action Settlement

Business Valuation UpdateVol. 22 No. 4
Legal and Court Case Update
April 2016
6531 Real Estate Agents and Managers
531390 Other Activities Related to Real Estate
dissenting shareholder
discount rate, breach of fiduciary duty, comparable companies analysis, discounted cash flow (DCF), dissenting shareholder, market approach, multiple, growth rate, earnings before interest, taxes, depreciation, amortization (EBITDA), precedent transactions analysis

In re Trulia Stockholder Litig.
2016 Del. Ch. LEXIS 8
January 22, 2016
US
State Court
Delaware
Court of Chancery of Delaware
J.P. Morgan (defendant); N/A (plaintiffs)
Bouchard (Chancellor)

Summary

In stockholder class action, Chancery declines to approve settlement that requires plaintiffs to agree to broad release of claims in exchange for additional valuation-related information, finding it fails to meet applicable “fair and reasonable” standard.

See Also

In re Trulia Stockholder Litig.

In stockholder class action, Chancery declines to approve settlement that requires plaintiffs to agree to broad release of claims in exchange for additional valuation-related information, finding it fails to meet applicable “fair and reasonable” standard.