IN THIS ISSUE
Delaware Federal Court Dismisses Shareholder Derivative Suit Concerning Lack of Board Diversity; California Federal Court Dismisses Shareholder Class Action Against Sorrento Therapeutics Regarding COVID-19 Treatment; Delaware Court of Chancery Dismisses Cannabis Company Investors' Suit as Sanction for “Contumacious” Discovery Conduct
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On November 15, 2021, Judge Richard G. Andrews of the U.S. District Court for the District of Delaware dismissed a derivative suit filed by Qualcomm Inc. stockholders asserting that Qualcomm’s 2019 and 2020 proxy statements included false statements and misleading omissions regarding its commitment to board diversity. In dismissing the case, Judge Andrews concluded that the challenged statements were inactionable puffery or were not alleged to be false and that the challenged omissions were not alleged to have rendered the proxy misleading.
Plaintiffs alleged that “Qualcomm ha[d] repeatedly falsely represented that it has made substantial progress towards diversity and inclusion in its workplace and on the board,” that Qualcomm “is one of the few remaining publicly-traded companies without a single African American director,” and that women and other minority groups face discrimination throughout the company.
Plaintiffs asserted that Qualcomm’s directors had violated Section 14(a) of the Exchange Act, and Rule 14a-9 promulgated...
Immigration and Customs Enforcement on Tuesday announced is seeking to fine an immigration attorney who allegedly filed false asylum claims -- the first time the agency has filed such a claim. Home...