Vice Chancellor Lori W. Will approved a settlement whereby a class of former stockholders of AmTrust Financial Services, Inc. (“AmTrust”) will release their claims against the defendants in exchange for a $40 million payment.
In approving the settlement as fair, reasonable, and in the best interests of the Class, the Court stated "congratulations on a fantastic settlement to all of you."
This breach of fiduciary duty action, in which Wolf Popper LLP serves as co-lead counsel, arises from a 2018 transaction whereby AmTrust’s controlling stockholder family purchased all unaffiliated common stock for $14.75 per share. In a memorandum dated February 26, 2020, the Court of Chancery largely denied the defendants’ motions to dismiss, finding, among other things, that the plaintiffs’ complaint “raise[s] significant questions” about the fairness of the merger process.