PALKON v. MAFFEI

C.A. No. 2023-0449-JTL.

311 A.3d 255 (2024)

Dennis PALKON and Herbert Williamson, Plaintiffs, v. Gregory B. MAFFEI, Albert E. Rosenthaler, Matt Goldberg, Jay C. Hoag, Betsy Morgan, Greg O'Hara, Jeremy Philips, Trynka Shineman Blake, Jane Jie Sun, Robert S. Wiesenthal, Larry E. Romrell, J. David Wargo, Michael J. Malone, Chris Mueller, and Christy Haubegger, Defendants, and TripAdvisor, Inc. and Liberty TripAdvisor Holdings, INC., Nominal Defendants.

Court of Chancery of Delaware.

Date Decided: February 20, 2024.


Attorney(s) appearing for the Case

Gregory V. Varallo , Andrew E. Blumberg , Mae Oberste , Daniel E. Meyer , BERNSTEIN LITOWITZ BERGER & GROSSMANN LLP, Wilmington, Delaware; Kimberly A. Evans , Robert Erickson , BLOCK & LEVITON LLP, Wilmington, Delaware; Sara D. Swartzwelder , BERNSTEIN LITOWITZ BERGER & GROSSMANN LLP, New York, New York; Jeremy Friedman , David Tejtel , Christopher Windover , FRIEDMAN OSTER & TEJTEL PLLC, Bedford Hills, New York; Jason Leviton , Joel Fleming , Amanda Crawford , BLOCK & LEVITON LLP, Boston, Massachusetts; D. Seamus Kaskela , Adrienne Bell , KASKELA LAW LLC, Newtown Square, Pennsylvania; Attorneys for Plaintiffs Dennis Palkon and Herbert Williamson.

Kevin R. Shannon , J. Matthew Belger , Jaclyn C. Levy , Justin T. Hymes , POTTER ANDERSON & CORROON LLP, Wilmington, Delaware; Matthew W. Close , Jonathan B. Waxman , O'MELVENY & MYERS LLP, Los Angeles, California; Abby F. Rudzin , Asher Rivner , O'MELVENY & MYERS LLP, New York, New York; Attorneys for Defendants Gregory B. Maffei, Albert E. Rosenthaler, Larry E. Romrell, J. David Wargo, Michael J. Malone, Chris Mueller, Christy Haubegger, and Nominal Defendant Liberty TripAdvisor Holdings, Inc.

Bradley R. Aronstam , S. Michael Sirkin , ROSS ARONSTAM & MORITZ LLP, Wilmington, Delaware; John A. Neuwirth , Evert J. Christensen, Jr. , Stefania D. Venezia , WEIL, GOTSHAL & MANGES LLP, New York, New York; Attorneys for Defendants Matt Goldberg, Jay C. Hoag, Betsy Morgan, Greg O'Hara, Jeremy Philips, Trynka Shineman Blake, Jane Jie Sun, and Robert S. Wiesenthal, and Nominal Defendant TripAdvisor, Inc.


OPINION DENYING MOTION TO DISMISS EXCEPT AS TO PLAINTIFFS' REQUEST FOR INJUNCTIVE RELIEF

A Delaware corporation has two classes of stock. The CEO/Chair owns high-vote shares carrying a majority of the outstanding voting power, giving him hard majority control. The board decides to convert the Delaware corporation into a Nevada...

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