Last December, Vince McMahon informed the WWE board in a letter that he wanted to return to the company. McMahon further clarified that he wanted to participate in the media rights negotiations and kick off the company sale process.
Last Friday, McMahon removed three directors from the board bylaw and included himself and his close allies George Barrios, and Michelle Wilson on the board. After McMahon’s return to the board, Ignace Lahoud and Man Jit Singh were resign from the board.
Yesterday, Vince McMahon was elected to the board as Executive Chairman of the company. On the same day, Stephanie McMahon announced her departure from the company. You can read more details by clicking here.
Bloomberg Law reported that a shareholder of WWE has filed a lawsuit against Vince McMahon regarding McMahon’s forceful comeback.
“A shareholder sued McMahon in Delaware’s Chancery Court, accusing him of wielding his 81% voting control to oust three board members, replace them with loyalists, and push through bylaw changes that would ‘impose his will on the board and WWE.
Causes of Action: Section 141 of the Delaware General Corporation Law; breach of fiduciary duty.
Relief: Invalidation of the bylaw changes; costs and fees.
Potential Class Size: Thousands of holders of 43.3 million WWE shares, according to the complaint.
Attorneys: The investor leading the case, Scott Fellows, is represented by Labaton Sucharow LLP, Friedlander & Gorris PA, Friedman Oster & Tejtel PLLC, and Kaskela Law LLC.
The case is Fellows v. McMahon, Del. Ch., No. 2023-0022, complaint filed 1/10/23.”
We will update you when we receive more details. Stay tuned with The Spotlight.