Healthgrades Mergers and Aquisitions Litigation

In Weigard v. Hicks, et al., No. 5732-VCS (“Health Grades”), the Weiser Firm and Co-Counsel successfully demonstrated to the Delaware Chancery Court that the defendants had likely breached their fiduciary duties to the company’s shareholders by failing to maximize value as required by Revlon, Inc. v. MacAndrews & Forbes Holdings, Inc., 506 A.2d 173 (Del. 1986). In Health Grades, the Class Counsel were successful in reaching a settlement which required significant changes to the merger agreement to remove impediments to a fair bidding process and essentially required the defendants to conduct a “window shop” of the Company to allow other interested companies to be able to make competing bids for the Company.

At the preliminary injunction hearing in Health Grades, now Chancellor Strine “applaud[ed]” counsel for their preparation and the extraordinary high-quality of the work:
<blockquote>I want to applaud the lawyers today for being so well prepared. And I particularly want to applaud the plaintiffs for being not only well prepared but exceedingly measured and logical in their argument. …they’ve made some, frankly, very potent arguments about the reasonableness of the board’s process without, frankly, making wildly speculative — often we see sinister motives thrown around without basis. [Plaintiffs’] team admirably really focused on the core of the matter and in a very skillful way.