Daily Journal (California)
Securities litigation and regulatory enforcement partner Jim Kramer recently spoke with the Daily Journal about the increase in shareholder litigation in response to M&A deal activity.
"The bottom line is that companies should expect that every single one of these deals will result in litigation," said Kramer.
According to the article, while many members of the plaintiffs' bar say they're working diligently on behalf of shareholders wronged by board executives who failed in their duty to maximize a company's value, corporate lawyers on the receiving end of those lawsuits often see them as little more than transparent attempts to troll for attorney fees and an abusive tactic that adds time and cost to the M&A process.
"The filings are often reflexive and they're not the result of deep thorough investigation of if there were actually any breaches of fiduciary duties," Kramer said.