We represented the Chicago Board of Trade and its Directors in litigation in the federal, Illinois, and Delaware courts over the CBOT’s demutualization and were architects of a 2004 court-approved class action settlement of a dispute between members that was quickly followed with the CBOT's restructuring into a public company. We then played an active role in the historic merger between the CBOT and Chicago Mercantile Exchange and litigation relating to the merger. In the process, the value of each full member's equity in CBOT rose from less than $400,000 to over $7 million.
Chicago Board of Trade Demutualization and CME Merger
Chicago Board of Trade’s $1 Billion Settlement with the Chicago Board Options Exchange
We represented the CBOT in litigation in the Delaware Court of Chancery and in SEC proceedings between its members and the Chicago Board of Options Exchange over CBOT members' claims to ownership interest in CBOE. The case resulted in a settlement which produced benefits to CBOT members valued at $1 billion. Chicago Board of Trade v. Chicago Board of Options Exchange, No. 2369-VCN (Delaware).
Chicago Board of Trade Shareholder Litigation
We represented the CBOT and CBOT Board of Directors in litigation in the Delaware Court of Chancery resulting from the CBOT's Board approval of the merger with the Chicago Mercantile Exchange and rejection of a competing proposal. Louisiana Municipal Police Employees' Retirement System v. CBOT Holdings, Inc., et al., No. 2803-VCN (Delaware).
Obtained Permanent Injunction Against Sprint-Nextel Merger
Michael Forde tried two cases on behalf of three Sprint 'affiliates' in cases they filed in the Delaware Court of Chancery and Cook County Circuit Court. These affiliates of Sprint Nextel Corporation were third parties who had the exclusive right to provide Sprint mobile service in certain large geographic areas. After Sprint announced its $35 billion merger with Nextel Communications, Inc., these affiliates filed separate suits against Sprint in Delaware and Cook County alleging that the merger would result in a breach of their exclusivity rights. In the Delaware case, the Court of Chancery issued an injunction barring Sprint Nextel from engaging in certain marketing activities. In the Illinois case, the court issued an injunction requiring Sprint Nextel to divest itself of the Nextel network and assets in our client's service area. The Appellate Court affirmed this decision. Sprint ultimately resolved the case by acquiring our clients for approximately $831 million in cash and assumed debt.