Opinion ID: 2346742
Heading Depth: 1
Heading Rank: 5

Heading: the award of $1 per share

Text: In an attempt to fashion an appropriate remedy in this case, the trial court placed particular reliance on the Chancellor's decision on remand in Weinberger v. UOP, Inc., Del.Ch., C.A. No. 5642-NC, Brown, C., 1985 WL 11546 (Jan. 30, 1985) in support of the selection of $1 per share as the appropriate equitable remedy in this case. Gaffin, Del.Ch., C.A. No. 5786-NC, slip op. at 50, Hartnett, V.C., 1990 WL 195914 (Dec. 4, 1990). In Weinberger, the Court of Chancery concluded that $1 per share was a fair measure of compensation to be awarded minority shareholders who were deprived of the opportunity to make an informed decision regarding the adequacy of consideration for their shares. The court in Weinberger was able to rationalize its award based on the expert testimony in support of its award of $1 per share as a fair measure of compensation. In contrast, plaintiff's experts in the present case were unable to render an opinion with any specificity as to the true value of the shares as of the date of repurchase. Rather, plaintiff's expert, Dr. Peter Linneman, appraised the value of a Teledyne share as of the date of repurchase as somewhere between $70 and $100 per share. We agree with the Vice Chancellor's conclusion that plaintiff's proof failed to support the level of damages sought. Id. at 45-47. Nevertheless, nothing contained in this opinion shall be construed as a holding by this Court that there is a supportable basis for the $1 per share award. Since Teledyne has not cross-appealed the damage award, however, the award of $1 per share on plaintiff Gaffin's individual claim is affirmed. Finally, given the facts of this case, we find no merit to plaintiff's contention that the court abused its discretion by failing to award prejudgment interest. See Shell Petroleum, Inc. v. Smith, Del.Supr., 606 A.2d 112, 117 (1992); Rollins Environmental Services, Inc. v. WSMW Industries, Inc., Del.Super., 426 A.2d 1363, 1366 (1980) (allowance of prejudgment interest in cases falling within equity jurisdiction is within the discretion of the Court of Chancery, citing Hayward v. Green, Del.Supr., 88 A.2d 806 (1952)); Haas v. Haas, Del.Ch., 124 A.2d 7, 11 (1956) (In the absence of contract or other special situation, interest in equity is generally not allowed until judgment is entered.).