A SPAC dispute involving President
Here’s a look at what else is happening in Delaware courts:
Tuesday: Wang v. Studio 8 Holdings LLC, Del. Ch., No. 2025-1079, trial 2/10/26.
At issue: Magistrate Danielle Gibbs presides over a half-day trial over a demand for internal records from Studio 8 Holdings LLC, a production company backed by Columbia Pictures and Shanghai-based Fosun International Ltd. Studio 8 manager Lu Wang, appointed to the board by Fosun subsidiary Galaxy Entertainment LLC, claims the production company appears to be nearing insolvency after blowing through a $200 million investment. Studio 8 was founded in 2014 by former Warner Bros. Pictures executive Jeff Robinov and other Hollywood veterans, and its recent projects include the 2024 horror remake “Nosferatu.” Galaxy initially joined Wang in the lawsuit but opted to pursue its claim in arbitration. Studio 8 argues the case is about buyer’s remorse. “Fosun’s investment in the Hollywood entertainment industry did not produce the returns it hoped for,” it says in a brief. “Rather than accept that outcome, Fosun—through Ms. Wang—now attempts to recast a failed investment as misconduct, accusing Studio 8 of mismanagement and even fraud.”
Court action: The trial will be held via videoconference.
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Wednesday: ARC Glob. Inv. II LLC v. Digit. World Acquisition Corp., Del., No. 375,2025, oral arguments 2/11/26.
At issue: Delaware’s highest court will consider an appeal stemming from a complex financial dispute related to Trump’s social media company going public. Trump Media & Technology Group merged with a special purpose acquisition company called Digital World Acquisition Corp. to become publicly traded. The key issue is how many shares the SPAC’s original sponsor, ARC Global Investments II LLC, should get in the merged company. ARC claims it’s entitled to more shares based on the merger agreement’s conversion formula. Digital World Acquisition Corp. argues ARC is trying to get more than it deserves. The case doesn’t directly involve the president, but its outcome will affect the ownership structure of the company bearing his name. Both sides disagree on how the Chancery Court interpreted the merger agreement and determined whether certain people count as “sellers” in the deal.
Court action: The Delaware Supreme Court hears oral arguments in the state’s capital city, Dover, Del.
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Wednesday: BRP Grp., Inc. v. Wagner, Del., No. 80, 2025, oral arguments 2/11/26.
At issue: The Delaware Supreme Court’s recent Moelis decision may be discussed in insurance company BRP Group Inc.'s appeal of a Chancery Court ruling that invalidated certain provisions in its stockholders agreement requiring approval from one of its co-founders before any material transactions, “significant decisions” regarding key employees, or charter amendments. In briefs submitted before the justices ruled on Moelis last month, BRP argued the Chancery Court had created new, problematic standards for evaluating corporate governance agreements. BRP stockholder Ruby Wagner said the lower court’s reasoning should be applied to invalidate the challenged provisions in BRP’s agreement.
Court action: This Delaware Supreme Court arguments will also be heard in Dover, Del.
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Friday: Icahn Partners v. deSouza, Del. Ch., No. 2023-1045, oral arguments 2/13/25.
At issue: Illumina Inc. directors want the Chancery Court to dismiss a shareholder lawsuit that claims the board illegally closed a deal for cancer detection technology company Grail Inc. amid regulatory challenges in Europe and the US. The $7 billion acquisition was ultimately unwound in 2023. Illumina’s board and former CEO, Francis deSouza, say the directors acted in good faith and believed the closing was legal and in the company’s best interests, and the shareholders behind the lawsuit can’t show the directors knowingly broke the law. Billionaire Carl Ichan initially led the litigation against Illumina’s board, but his Ichan Partners exited the lawsuit in September after reaching a settlement, according to court documents.
Court action: Oral arguments will be held in Wilmington, Del.
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—With assistance from Bloomberg Law Automation.
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