Opinion ID: 1996638
Heading Depth: 1
Heading Rank: 4

Heading: Related Federal Litigation

Text: Other GM shareholders filed ten federal court actions challenging the December 1, 1986 repurchase transaction for violations of federal securities law and for wrongful refusal of demand. After consolidation of the cases, which include class and derivative claims, and transfer to the District of Delaware, the court dismissed the class claims on September 7, 1988 but declined to dismiss the derivative claims. The court found that plaintiffs had adequately pleaded wrongful refusal of demand. In re General Motors Class E Stock Buyout Sec. Litigation, 694 F.Supp. 1119, 1133-34 (D.Del.1988) (motion for reargument pending and proceedings stayed). The GM defendants moved for reargument, and the case was later reassigned to another judge, who stayed consideration of reargument pending this Court's decision in this appeal.