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United States demand futilitydirector independence

United Food and Commercial Workers Union v Zuckerberg

262 A.3d 1034 (Del. 2021)
JurisdictionUnited States
CourtDelaware Supreme Court
Year2021
StatusBinding authority

Key Principle

The Aronson and Rales demand futility tests are replaced by a universal three-part test focusing on director independence, disinterestedness, and whether the challenged act is protected by the business judgment rule.

Area of Law

corporate

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