UNITED FOOD PENSION FUND v. ZUCKERBERG

No. 404, 2020.

262 A.3d 1034 (2021)

UNITED FOOD AND COMMERCIAL WORKERS UNION AND PARTICIPATING FOOD INDUSTRY EMPLOYERS TRI-STATE PENSION FUND, Plaintiff-Below, Appellant, v. Mark ZUCKERBERG, Marc Andreessen, Peter Thiel, Reed Hastings, Erskine B. Bowles, and Susan D. Desmond-Hellmann, Defendants-Below, Appellees and Facebook, Inc., Nominal Defendant-Below, Appellee.

Supreme Court of Delaware.

Decided: September 23, 2021.


Attorney(s) appearing for the Case

P. Bradford deLeeuw, Esquire , DELEEUW LAW LLC, Wilmington, Delaware; Robert C. Schubert, Esquire , Willem F. Jonckheer, Esquire (argued), SCHUBERT JONCKHEER & KOLBE LLP, San Francisco, California; James E. Miller, Esquire , SHEPHERD FINKELMAN MILLER & SHAH, LLP, Chester, Connecticut; Attorneys for Appellant United Food and Commercial Workers Union and Participating Food Industry Employers Tri-State Pension Fund.

Kevin R. Shannon, Esquire , Berton W. Ashman, Jr., Esquire , Tyler J. Leavengood, Esquire , POTTER ANDERSON & CORROON LLP, Wilmington, Delaware; William Savitt, Esquire (argued), Ryan A. McLeod, Esquire , Anitha Reddy, Esquire , Kevin M. Jonke, Esquire , WACHTELL, LIPTON, ROSEN & KATZ, New York, New York; Attorneys for Appellees Marc L. Andreessen, Erskine B. Bowles, Susan D. Desmond-Hellman, Reed Hasting, and Peter Thiel.

Raymond J. DiCamillo, Esquire , Kevin M. Gallagher, Esquire , RICHARDS, LAYTON & FINGER, P.A., Wilmington, Delaware; George M. Garvey, Esquire , Laura Lin, Esquire , MUNGER, TOLLES & OLSON LLP, Los Angeles, California; Attorneys for Appellee Mark Zuckerberg.

David E. Ross, Esquire , Garrett B. Moritz, Esquire , R. Garrett Rice, Esquire , ROSS ARONSTAM & MORITZ LLP, Wilmington, Delaware; Attorneys for Appellee Facebook, Inc.

Before SEITZ, Chief Justice; VALIHURA, VAUGHN, TRAYNOR, and MONTGOMERY-REEVES, Justices, constituting the Court en banc.


In 2016, the board of directors of Facebook, Inc. ("Facebook") voted in favor of a stock reclassification (the "Reclassification") that would allow Mark Zuckerberg —Facebook's controller, chairman, and chief executive officer—to sell most of his Facebook stock while maintaining voting control of the company...

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