Print
E-MailThis post is by Theodore Mirvis of Wachtell, Lipton, Rosen & Katz. This post is part of the Delaware law series, which is cosponsored by the Forum and Corporation Service Company; links to other posts in the series are available here.
Doubtless, the “zone of insolvency” is a scary place. But it got a bit less scary, at least as to fiduciary claims against directors by creditors, when the Delaware Supreme Court affirmed the dismissal of a claim against the directors of Clearwire Holdings. The decision, noted in this Memorandum, suggests an important refining of who-owes-what-duties-to-who when directors are in the “zone.”
