NACD Amicus Brief Regarding Shareholder Litigation Involving Rural/Metro Corp
On May 26, 2015, NACD filed an amicus brief regarding shareholder litigation involving Rural/Metro Corp. The brief was prepared by the law firm of Gibson Dunn & Crutcher LLP. Shareholders sued rural/Metro’s board for approving the sale of the company to the private equity firm Warburg Pincus LLP. In the brief, among other statements, NACD asserts that the Rural/Metro decision sets too high a bar for corporate directors when considering and approving merger transactions. At the same time, it undercuts directors’ ability to rely on expert advisors in M&A matters.