Delaware Court Of Chancery Rejects Motion To Stay SPAC Breach Of Fiduciary Duty Suit Pending Parallel Federal Securities Action
Shearman & Sterling
MARCH 15, 2022
On March 7, 2022, Vice Chancellor Lori W. Will of the Delaware Court of Chancery denied a motion to stay a putative class action brought by legacy stockholders of DiamondPeak Holding Corp., a special purpose acquisition company ("SPAC"), alleging that its directors and controlling stockholders breached their fiduciary duties in connection with the SPAC's acquisition of Lordstown Motors Corp. ("Legacy LMC").
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