The liability environment for directors and officers is always in a state of change, but 2019 was a particularly eventful year in the D&O liability arena, with important consequences for the D&O insurance marketplace. The past year’s many developments have significant implications for what may lie ahead in 2020 – and possibly for years to come, as well.  I have set out below the Top Ten D&O Stories of 2019, with a focus on the future implications. Continue Reading The Top Ten D&O Stories of 2019

Lucerne, Switzerland

Early next week, I will be publishing my annual Top Ten Stories in D&O survey. Last week, in anticipation of the upcoming publication of my annual survey, I published a list of my own Top Ten Travel Pictures of 2019. In my travel pics post, I also invited readers to submit for their favorite pictures of their own travel in 2019. I am pleased to report that many readers have submitted pictures for consideration. I have published a sampling of readers’ submissions below. Continue Reading A Sampling of Readers’ 2019 Travel Pictures

The number of federal court securities class action lawsuit filings during 2019 was consistent with the heightened number of filings in each of the two prior years. The total number of suits during 2019 was significantly increased by the number of federal court merger objection lawsuit filings, but even just with respect to the traditional suit filings, the number of securities suit filings in 2019 was well above historical levels. The 2019 federal court securities litigation rate (that is, the number of lawsuits relative to the number of listed companies) was at an all-time high. Continue Reading Federal Court Securities Suit Filings Remain at Elevated Levels

Umesh Pratapa

As many insurance industry observers know, one of the great concerns within the industry now is the possible impact of “silent cyber” – that is, the potential for cybersecurity-related coverage outside of purpose-built cyber insurance policies. In the following guest post, Umesh Pratapa takes a look at the silent cyber phenomenon.  A version of this article previously was published on Umesh’s website (here). Umesh is an independent insurance consultant based in India. I would like to thank Umesh for allowing me to publish his article as a guest post on this site. I welcome guest post submissions from responsible authors on topics of interest to this site’s readers. Please contact me directly if you would like to submit a guest post. Here is Umesh’s article. Continue Reading Guest Post: Silent Cyber – Is it Deafening?

Mount Pilatus above Lake Lucerne

In early January 2020, I will be publishing my annual survey of the Top Ten D&O Stories. For now, though, I know that most readers are not interested in reading about insurance or the law. So today instead of my usual fare, I am posting my favorite pictures that I took in the course of my 2019 travels. In addition, following the pictures below, I am extending an invitation to readers to send me their favorite travel pictures from this past year. As detailed below, I will publish a selection of readers’ picture submissions in future blog post(s). Continue Reading Top Ten 2019 Travel Pictures — and an Invitation for Readers’ Pictures

Paul Ferrillo

As regular readers of this blog know, one of the many consequences that may follow for a company that experiences a cybersecurity incident is that it could get hit with a D&O claim. In the following guest post, Paul Ferrillo examine whether the increasing move toward cybersecurity-related D&O claims could in turn lead to an increase in prior Delaware Section 220 books and records inspection demands. Paul is a shareholder in the Greenberg Traurig law firm’s Cybersecurity, Privacy, and Crisis Management Practice. I would like to thank Paul for allowing me to publish his guest post as an article on this site. I welcome guest post submissions from responsible authors on topics of interest to this blog’s readers. Please contact me directly if you would like to submit a guest post. Here is Paul’s article. Continue Reading Guest Post: Board Cyber Oversight Duties and Delaware Section 220 Demands

Francis Kean

Earlier this month I published a guest post in which John McCarrick and Paul Schiavone suggested various policy terms and conditions they proposed should be revisited as D&O insurers seek profitability. My comments on their proposals appeared as an appendix to John and Paul’s article. John and Paul’s article has provoked a series of responses. Last week, I published a second guest post in which Paul Ferrillo provided his thoughts in response to John and Paul’s article. And in yet another guest post, Gil Isidro provided his comments as well. Now, as set out below, Francis Kean adds his voice to the dialog. Francis is Executive Director FINEX Willis Towers Watson. I would like to thank Francis for allowing me to publish his comments. Here is Francis’s article. Continue Reading Guest Post: D&O Insurance: A Crisis of Complexity

Neil J. Cohen

One of the hot topics in securities regulation and enforcement has been the question of what position the SEC will take with respect to cryptocurrencies. In the following guest post written in the form of a one-scene play, Neil J. Cohen, a lawyer and publisher of the Securities Reform Act Litigation Reporter, imagines a fictional conversation involving an SEC official discussing cryptocurrencies. I would like to thank Neil for submitting his play to be a guest post on this site – this is the first play that has appeared on this site! I welcome guest post submissions from responsible authors on topics of interest to this blog’s readers. Please contact me directly if you would like to submit a guest post. Here is Neil’s play. Continue Reading Guest Post: Fictional SEC Official Discusses Crypto Off-the-Record  

I know that with the holidays just around the corner, most people are focused on clearing off their desks and getting out of town, rather than on what they are going to be doing the second week of January. Just the same, I want to encourage everyone to get out their calendars and note the date and time of the “Top Ten D&O Stories in 2019” webinar I will be conducting in January.  This free, hour-long webinar will take place at 11:00 am EST on Tuesday, January 14, 2020. My colleague and friend Marissa Streckfus will be moderating the event.

 

In the webinar, I will be discussing the key developments during the past year that affect the liability exposures of corporate directors and officers. The specific topics I will discuss will include:

  • Current heightened levels of securities class action litigation
  • Key factors driving the securities litigation and other corporate litigation
  • Current state of merger objection litigation
  • Impact of the Cyan decision on IPO litigation
  • Emerging D&O liability issues, such as cybersecurity and privacy
  • The impact current developments have for D&O policyholders and insurers

To register for this event, please click here. I hope everyone will plan on attending this January 14 webinar.

Samantha Wu

In prior posts, I have noted the series of U.S. securities class action lawsuits that have been filed recently against publicly traded companies in the cannabis business, including several Canadian companies. In the following guest post, Samantha Wu of the Bersenas Jacobsen Chouest Thomson Blackburn law firm in Toronto provides an overview of the unique exposures that directors and officers of Canadian cannabis companies face. A version of this article previously was published on the law firm’s website (here). I would like to thank Sam for allowing me to publish her article as a guest post on this site. I welcome guest post submissions from responsible authors on topics of interest to this blog’s readers. Please contact me directly if you would like to submit a guest post. Here is Sam’s article. Continue Reading Guest Post: Canadian Cannabis Companies’ Directors and Officers Face Unique Exposures