488 A.2d 858 (Del. 1985)

Smith v Van Gorkom

The court held that approving a cash-out merger without adequate information, a fairness opinion, or a meaningful deliberative process amounted to grossly deficient board decision-making and became a landmark duty-of-care case.

Holding

The court held that approving a cash-out merger without adequate information, a fairness opinion, or a meaningful deliberative process amounted to grossly deficient board decision-making and became a landmark duty-of-care case.

Issues

duty of caremerger approval processbusiness judgment rule