Fifth Third Leaders Defeat Suit Over ‘Unauthorized’ Accounts (1)

Fifth Third Bancorp investors have lost their lawsuit filed on behalf of the company alleging its directors breached their fiduciary duties and misled shareholders regarding unauthorized customer accounts.

The investors failed to demand that the board take the actions they desired before filing suit, and they didn’t adequately show that such a demand would have been futile, Judge Sara L. Ellis said Wednesday for the US District Court for the Northern District of Illinois. Ellis dismissed the suit with finality.

While Fifth Third argued the investors failed to show demand futility and also failed to state claims, Ellis only reached ...