Judge: Investor In Derivative Suit Properly Pleaded Demand Futility
Mealey's (November 19, 2015, 1:17 PM EST) -- SAN JOSE, Calif. — Dismissal of a consolidated complaint in a shareholder derivative lawsuit is not proper, a federal judge in California ruled Nov. 16, because an investor has properly shown that demand on a company’s board of directors was futile (In re Intuitive Surgical Shareholder Derivative Litigation, No. 14-0515, N.D. Calif.).
(Order available. Document #57-151214-001R.)
Lead plaintiff Robert Berg filed a consolidated shareholder derivative complaint in the U.S. District Court for the Northern District of California. He alleged that Intuitive Surgical Inc. CEO Gary Guthart,...