Opinion ID: 1996638
Heading Depth: 1
Heading Rank: 3

Heading: The Levine Suit

Text: On December 11, 1986, ten days after the GM Board's approval of the Perot repurchase agreement, GM shareholder Levine made written demand upon the GM Board to rescind the Perot repurchase transaction. Levine also requested that the Board allow him to appear and speak in support of his position at its next meeting. Although the Board promised to consider the demand at its next regularly scheduled meeting, it did not hear from Levine in person. On January 5, 1987, the GM Board met and voted unanimously to reject demand. GM notified Levine's counsel on January 9, 1987 that the Board had reviewed the December 11 demand letter and had unanimously decided that legal action would not be in the best interests of the Corporation. On February 3, 1987, Levine filed suit in the Court of Chancery; and two months later, the court issued its ruling dismissing the Grobow I suit. When Levine initiated discovery, GM and its directors moved to dismiss the complaint under Rule 23.1 and for a protective order pending disposition of the motion. Following briefing, limited to defendants' motion for a protective order, the Court of Chancery, in December 1987, granted defendants' motion and stayed further discovery. Following defendants' briefing of their motion to dismiss under Rule 23.1, Levine filed on January 26, 1988 an Amended Complaint; and defendants renewed their motion to dismiss. On November 27, 1989, the Court of Chancery granted defendants' motion and dismissed the Levine Amended Complaint. Levine then docketed this appeal on December 21, 1989, after the trial court denied Levine's request to file a second amended complaint.