Three investors in a California cannabis venture who claim stockholders were shortchanged by $40 million when a controlling shareholder allegedly coerced the board into an unfair merger may move ahead with their proposed shareholder class action in Delaware Chancery Court.
In a mixed opinion Monday, Vice Chancellor Morgan T. Zurn said the investors in Left Coast Ventures Inc. , a cultivator and distributor of cannabis products, may proceed to trial with claims related to breach of fiduciary duty, but their claims of tortious interference and civil conspiracy would be dismissed. “Plaintiffs have successfully alleged an improper side transaction intertwined with the merger…
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Published: March 03, 2022
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