Increased Judicial Scrutiny of Non-Monetary Settlements of Merger Litigation Threatens Business Model of Some Plaintiffs’ Lawyers
In recent years, the percentage of corporate mergers and acquisitions challenged through stockholder litigation has more than doubled. In 2007, 44% of deals valued over $100 million were the subject of stockholder lawsuits; by 2014, the number was 93%.[1] Merger litigation has become both reflexive and ubiquitous; plaintiffs’ lawyers often file complaints on behalf of