AMC Shareholder Case Judge Refutes Special Master Bias Concerns

A lawyer deputized to assist in shareholder litigation over preferred equity units issued by AMC Entertainment Holdings Inc. doesn’t appear to have any conflicts of interest, a Delaware judge said Wednesday.

Vice Chancellor Morgan T. Zurn largely denied a bid to recuse the attorney—Corinne Elise Amato of Prickett, Jones & Elliott PA—from her role as special master. Amato is reviewing a tidal wave of letters from AMC retail investors writing to oppose a legal settlement allegedly worth more than $100 million.

The deal, disclosed April 3, would resolve AMC’s blockbuster dispute with a pension fund and two other shareholders who ...