South Korean firms face more lawsuits over stock value

If your corporation has more than one shareholder, a well-drafted Shareholder’s Agreement is essential. This foundational document outlines ownership rights, decision-making authority, dispute resolution mechanisms, and exit strategies. It’s designed to prevent misunderstandings, protect shareholder interests, and safeguard the future of your business. Learn more about how a Shareholder’s Agreement can bring structure, clarity, and protection to your company. Read the full article on our website now. #CorporateLaw #ShareholdersAgreement #BusinessLaw #EntrepreneursCanada #SmallBusinessCanada #PrivateCorporation #Incorporation #LegalProtection #KalfaLawFirm #TorontoLawFirm #MandA #BusinessGrowth #LegalInsights

In recent months, shareholders of several equity mutual funds filed class action lawsuits in New York and Delaware state courts, alleging false and misleading statements and material omissions in the funds’ registration statements. Learn more about what the plaintiffs allege in these class action lawsuits in our investment services article by Nathaniel Segal, Jacob Tiedt, Mark Quade, Jake Wiesen and Sam Alsip: https://bit.ly/4nxW6wY

TROX SHAREHOLDER ALERT: Bronstein, Gewirtz and Grossman, LLC Announces that Tronox Holdings PLC Shareholders Have Opportunity to Lead Class Action Lawsuit! Bronstein, Gewirtz & Grossman, LLC notified investors that a class action lawsuit has been filed against Tronox Holdings PLC and certain officers. The complaint covers purchases of Tronox securities between February 12, 2025 and July 30, 2025, and investors have until November 3, 2025 to request appointment as lead plaintiff. The complaint alleges violations of the federal securities laws, asserting materially false and misleading statements about forecasting processes, commercial operations, and revenue expectations; the suit seeks damages and the appointment of a lead plaintiff. Full technical details are available in the corporate news release: https://lnkd.in/dKmvymkY

The U.S. Securities and Exchange Commission (SEC) has introduced a new policy that reverses its stance on mandatory arbitration, potentially reshaping class-action litigation risks for public companies and drawing close attention from the D&O market. The policy, announced on September 17, allows companies filing for an initial public offering (IPO) to include mandatory arbitration provisions in their bylaws without affecting the acceleration of their registration statements, marking a reversal of the SEC's previous stance. Full article for The Insurer Reuters below:

TROX SHAREHOLDER ALERT: Bronstein, Gewirtz and Grossman, LLC Announces that Tronox Holdings PLC Shareholders with Losses Have Opportunity to Lead Class Action Lawsuit! Bronstein, Gewirtz & Grossman, LLC announced a class action has been filed on behalf of purchasers of Tronox securities during the Class Period (February 12, 2025–July 30, 2025); investors have until November 3, 2025 to request appointment as lead plaintiff. The complaint alleges violations of the federal securities laws, claiming defendants made materially false and misleading statements and failed to disclose operational and forecasting issues that affected sales and revenues; the firm represents investors on a contingency fee basis. Full technical details are available in the corporate news release: https://lnkd.in/dbqjBUDp

Legal Practitioner Tristan Evan Barker reflects on whether shareholders can hold directors accountable for a reduction in share value. https://lnkd.in/daNXGNEX

✨ A thought-provoking day at the Commercial Litigation Association conference on shareholder disputes (#CLA25). One of the key take aways for me was around the end of the Shareholder Rule — and what that means for companies in Unfair Prejudice Petitions brought by shareholders. It will be interesting to see how the courts deal with this in future. For those who’d like to know more about the decision ending the Shareholder Rule, my colleagues Ffion and Hannah have written an article about this 👇

Partner Ken Aulet is quoted in Law360 regarding a Texas bankruptcy court’s approval of the novel Chapter 11 settlement for Linqto, a platform that enables investors to invest in private companies and pre-IPO startups, and an effort by certain equity holders of the underlying business to seek appointment of an equity committee, who asserted the company may still have significant value. Regarding whether Linqto still has significant value, Aulet said, “What we have here is a business that is stopped. It is a business that came in on day one to admit that essentially, fraud had been conducted against its customers. The debtors appear to have violated every single securities law on the books." The settlement includes the creation of a trust and a publicly listed closed-end fund, allowing customers to either own interests in private companies or publicly tradable stock in a fund that holds private securities. Read the full article here: https://lnkd.in/eSrxSJRs

𝗡𝗮𝘃𝗶𝗴𝗮𝘁𝗶𝗻𝗴 𝗦𝗵𝗮𝗿𝗲 𝗧𝗿𝗮𝗻𝘀𝗳𝗲𝗿 𝗥𝗲𝘀𝘁𝗿𝗶𝗰𝘁𝗶𝗼𝗻𝘀 𝗶𝗻 𝗦𝗵𝗮𝗿𝗲𝗵𝗼𝗹𝗱𝗲𝗿𝘀’ 𝗔𝗴𝗿𝗲𝗲𝗺𝗲𝗻𝘁𝘀 – 𝗣𝗮𝗿𝘁 𝟮 The previous article explored the fundamentals of tag-along rights, drag-along rights, and permitted and automatic transfers, and how they interact with the Companies Act, 2013. In this follow-up, we dive deeper into additional but equally significant mechanisms that frequently feature in shareholder agreements - 𝗦𝗵𝗼𝘁𝗴𝘂𝗻 𝗖𝗹𝗮𝘂𝘀𝗲𝘀, 𝗔𝗻𝘁𝗶-𝗗𝗶𝗹𝘂𝘁𝗶𝗼𝗻 𝗣𝗿𝗼𝘁𝗲𝗰𝘁𝗶𝗼𝗻𝘀, 𝗟𝗼𝗰𝗸-𝗜𝗻 𝗥𝗲𝘀𝘁𝗿𝗶𝗰𝘁𝗶𝗼𝗻𝘀, 𝗮𝗻𝗱 𝗖𝗮𝗹𝗹/𝗣𝘂𝘁 𝗢𝗽𝘁𝗶𝗼𝗻𝘀. Each of these highlights the delicate balance within SHAs: safeguarding investor interests while preserving promoter flexibility, ensuring certainty while allowing liquidity, and maintaining contractual autonomy while staying aligned with statutory provisions. Analysis by Akanksha Dua & Urvi Singh https://lnkd.in/gQxNeQeY #MergersAndAcquisitions #ShareholdersAgreements #CorporateLaw #IndiaLaw #LegalUpdate #ObhanAndAssociates

Pomerantz LLP Moves Forward with Class Action Lawsuit Against Tronox Holdings Plc - TROX Pomerantz LLP has filed a class action alleging that certain officers and/or directors engaged in securities fraud or other unlawful business practices. The complaint follows a July 30, 2025 disclosure that prompted a reduction in full-year revenue guidance, a 60% cut to the dividend, and a $1.95 per share (37.94%) drop to close at $3.19 on July 31, 2025. Affected investors have until November 3, 2025 to ask the Court to be appointed Lead Plaintiff for the class; the complaint alleges securities fraud or other unlawful business practices and a copy is available from Pomerantz LLP. Full technical details are available in the corporate news release: https://lnkd.in/dJXk38Ww