case United States English original

Aronson v. Lewis

Delaware Supreme Court decision articulating demand futility, board managerial authority, director independence, and the business-judgment baseline for derivative litigation.

Use It For

Use this with Foss and Chinese derivative-action materials to show how procedural gatekeeping shapes shareholder enforcement.

Teaching Notes

The case is especially useful for separating a shareholder’s dissatisfaction with a transaction from a pleaded reason why the board cannot decide whether the company should sue.