Kaskela Law LLC has filed a stockholder derivative and class action complaint on behalf of Coty Inc. and the company’s stockholders in the Delaware Court of Chancery (Case No. 2019-0336-LWW).

The complaint alleges that Coty’s directors breached their fiduciary duties in connection with their response to a partial tender offer (the “Tender Offer”) for Coty shares by an affiliate of JAB Holding Company S.à r.l., and for causing Coty to breach a stockholders agreement in connection with the Tender Offer (the “Stockholders Agreement”).

On July 13, 2020, Chancellor Bouchard denied defendants’ motions to dismiss the complaint.  A copy of the Court’s Memorandum Opinion is available at https://courts.delaware.gov/Opinions/Download.aspx?id=309430. 

The case is currently in the discovery phase.