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COVID-19 Legal Resources
Olshan Frome Wolosky LLP is gathering information related to COVID-19 issues and concerns to assist clients in navigating the national and New York states of emergency.
We will continue to prepare updates during this fluid situation. Clients and friends are encouraged to contact us with specific legal or operational questions or issues.
Showing 2 posts by Ron S. Berenblat.
Delaware Governor Issues Emergency Order Intended to Facilitate Corporations’ Pivot From In-Person Stockholder Meetings to Remote Communication Meetings in Light of COVID-19 Precautions
In a client alert issued by Olshan's Shareholder Activism Group last week, we reported that certain factions within the Delaware State Bar Association were attempting to fast track an amendment to Section 110 of the Delaware General Corporation Law that would allow Delaware corporations to postpone their annual meetings of stockholders in light of the COVID-19 pandemic. We expressed serious concerns that the proposed amendment could be abused by corporations looking to postpone their annual meetings and disenfranchise stockholders under the pretense that such a delay is required due to COVID-19. Shortly after the release of our client alert, Governor John Carney issued on April 6 the tenth modification to his State of Emergency Declaration relating to COVID-19 intended to reduce the number of in-person stockholder meetings held by Delaware corporations in order to protect the health and safety of the civilian population in light of the pandemic. As discussed in this client alert, we believe the Governor's order is sufficient to allow corporations to address COVID-19 related logistical challenges they may be facing with respect to their meetings and there is no need for state legislators to rush to adopt a statutory amendment that could threaten stockholder rights. Read More ›
Proposed Amendments to Delaware Law That Would Allow Corporations to Postpone Annual Meetings in Light of COVID-19 Pandemic May Undermine Stockholder Democracy
Certain factions within the Delaware State Bar Association are attempting to fast track legislation that would allow corporations incorporated in Delaware to postpone their annual meetings of stockholders in light of the COVID-19 public health threat. While these groups’ actions appear well intentioned, we have significant concerns that the proposed amendment to the statute, as currently drafted, could be abused by corporations looking to postpone their annual meetings and avoid being held accountable to stockholders under the pretense that such a delay is required due to COVID-19. The proposed amendment to the statute and our concerns therewith are discussed in this client alert. Read More ›