Hertz Settlement Stymied by $5 Million Fee Award: Delaware Brief

Hertz Settlement Stymied by $5M Fee Award

A judge’s questions about how much shareholder attorneys should be paid are holding up final approval of a settlement to resolve an investor’s challenge to billions of dollars’ worth of stock buybacks at Hertz.

A deal to end litigation targeting Hertz’s board and its private equity backers was presented Wednesday to the Delaware Chancery Court. Chancellor Kathaleen St. Jude McCormick said the corporate governance changes proposed looked good overall, but the $5 million fee award requested by the investor’s attorney gave her pause.

That’s a lower fee award than the court might ...