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The recent Chapter 11 filing of QVC Group, Inc. (QVC) underscores a trend that has been building over the past year: consumer-facing companies, facing a combination of leverage, shifting consumer behavior, and tightening credit conditions, are increasingly turning to the bankruptcy courts to restructure their obligations. As recent reporting has highlighted, the QVC’s filing follows mounting losses and ongoing pressure on its traditional television-based retail model, as consumers continue to migrate toward digital and social commerce platforms. Against this backdrop, the QVC filing reflects not only company-specific challenges but also broader structural shifts affecting legacy retail and media-driven commerce businesses.

Continue Reading QVC’s Chapter 11 Filing and the Continuing D&O Coverage Challenges in Bankruptcy

Peloton Interactive, Inc. (Peloton) has faced well-publicized operational and reputational challenges over the past several years. The company’s trajectory, from pandemic-era growth darling to post-pandemic recalibration and product safety scrutiny, has resulted in securities litigation. As previously discussed on the D&O Diary, Peloton successfully defeated a COVID-19-related securities suit at the pleading stage. More recently, the company faced a second securities class action tied to alleged product defects in its flagship bike (Peloton SCA). In a March 31, 2026, decision, the United States District Court for the Eastern District of New York granted Peloton’s motion to dismiss, rejecting plaintiff shareholders’ attempt to convert operational challenges into actionable securities fraud.

Continue Reading Peloton SCA Dismissed: Product Safety Allegations and D&O Exposure

Amid signs of a renewed uptick in SPAC activity, courts continue to grapple with D&O insurance coverage issues arising out of older de-SPAC transactions. In a March 30, 2026,  decision involving the de-SPAC of View Operating Corporation (View), the Delaware Superior Court held, in part, that View’s D&O policy “public offering” exclusion did not apply to preclude coverage for claims arising out of a de‑SPAC transaction and that additional payment conditions could not be imposed unless expressly stated in the policy.

Continue Reading Delaware Court Rejects “Public Offering” Exclusion in De-SPAC Coverage Dispute

A new study highlighted on the Harvard Law School Forum on Corporate Governance, and posted by Subodh Mishra, Global Head of Communications at ISS STOXX, on Tuesday, April 14, 2026, quantifies how cyber incidents can have sustained and measurable negative impacts on shareholder value. The report, based on research conducted by ISS STOXX and ISS-Corporate (the study), analyzed cyber incidents among companies in the Russell 3000 over a multi-year period. Its findings are stark: companies experiencing significant cyber incidents underperform the broader market by approximately 5% on average over a three-year time period. 

Continue Reading Cyber Incidents’ “Long Tail” Impact on Shareholder Value

In February, I noted an emerging securities litigation trend involving pump-and-dump schemes characterized by thin public float, retail investor participation, and the amplifying effects of social media. Three subsequent pump-and-dump securities filings in February and March 2026, along with a recent federal court ruling involving social media platform liability, provide further evidence that these risks may be accelerating. Taken together, these developments have important implications for D&O liability exposure and for underwriters evaluating risks associated with low-float issuers and companies whose securities trading activity may be influenced by online promotional activity.

Continue Reading Follow-On Developments in Pump-and-Dump Litigation
Stephen Hourigan

In the following guest post, Stephen Hourigan presents his view that Delaware’s courts have reimagined the role of Corporate Boards’ Audit Committees, yet the D&O insurance underwriting approach has yet to catch up to these changes. Stephen is the Founder and CEO of Penguin AI. We would like to thank Stephen for allowing us to publish his article as a guest post on this site. Here is Stephen’s article.

Continue Reading Guest Post: The Audit Committee: D&O Underwriting is Behind Delaware Law

As readers of this blog know, enforcement activity under the False Claims Act (FCA) has continued to expand, particularly in light of the Trump Administration’s recent efforts to prioritize fraud enforcement through its Task Force to Eliminate Fraud. At the same time, a new development may fundamentally alter the FCA enforcement landscape. On March 21, 2026, Eli Lilly and Company filed a petition for a writ of certiorari asking the United States Supreme Court to declare the FCA’s qui tam provisions unconstitutional (Eli Lilly Writ or Writ). 

Continue Reading A Writ Challenging Qui Tam and D&O Implications
Edgar A. Neely IV
Scott N. Sherman

The arrival of a securities class action lawsuit can be and often is a watershed moment in the life a public company. In the following guest post, Edgar A. Neely IV and Scott N. Sherman provide a basic briefing for directors concerned about securities litigation. Edgar and Scott are both partners at the Nelson Mullins law firm. I would like to thank Edgar and Scott for allowing me to publish their article on this site. Here is the authors’ article.

Continue Reading Guest Post: New Year’s Primer for Directors: Things to Know About Shareholder Litigation

The D&O Diary was on assignment in Florida last week, with stops in both Orlando and Miami. It is always a pleasure to be in Florida, even though this time the Orlando leg of the trip was unusually cold.

The primary purpose of the Orlando visit was to attend the annual Professional Liability Underwriting Society (PLUS) Conference. As always, the Conference was well-organized and well-attended. It was a pleasure to see so many old friends and to make new friends as well. It was gratifying to learn how many of the new members of our industry follow The D&O Diary. It was also my honor to be able to participate as a panelist for one of the sessions, as reflected in the picture below. My congratulations to the PLUS staff for another excellent event.

Continue Reading Orlando and Miami: PLUS Conference and LatAm Underwriters’ Meeting