Justia Delaware Supreme Court Opinion Summaries

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Plaintiff Amanda Norman appealed after a superior court granted summary judgment in favor of defendants All About Women, P.A. and Christine W. Maynard, M.D. in a medical negligence case. The grant of summary judgment followed an earlier ruling that the testimony of plaintiff's medical expert was inadmissible under the rules of evidence. In that ruling, the court excluded the expert’s testimony because the plaintiff failed to show that his opinions were “‘based on information reasonably relied upon by experts’ in his field.” Taking plaintiff's expert's deposition testimony as a whole, the Delaware Supreme Court found it sufficient to establish the applicable standards of care, Dr. Maynard's deviations from those standards, and injury to plaintiff caused by those deviations. As such, the Court ruled the expert's testimony admissible, reversed the superior court ruling, and remanded the case for further proceedings. View "Norman v. All About Women, P.A., et al." on Justia Law

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The Delaware Supreme Court granted review to an interlocutory appeal in a Family Court divorce proceeding. The wife, Gretchen Knowles, was a dual citizen of the United States and Greece. She was born in Wilmington and resided with her mother at her mother’s Wilmington home prior to the parties’ marriage. The respondent-husband, Gene Daskin, was a Greek citizen residing in Greece. The appeal came from the husband, raising two claims: (1) the Family Court erred in finding it had subject matter jurisdiction over the wife’s divorce petition because she was not a Delaware resident for six consecutive months prior to the filing of the petition; and (2) the Family Court erred in finding that service of process upon him was sufficient without requiring that service be properly made under the Hague Service Convention. After review, the Supreme Court vacated the judgment of the Family Court denying the husband’s motion to dismiss for lack of subject matter jurisdiction. The Court reversed the denial of the husband’s motion to dismiss for lack of personal jurisdiction due to insufficiency of service of process. This matter was remanded to the Family Court to vacate the divorce decree, the trial Judge’s order of November 1, 2017 and the Commissioner’s order of August 8, 2017, and for further proceedings. View "Daskin v. Knowles" on Justia Law

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In March 2016, soon after The Fresh Market (the “Company”) announced plans to go private, the Company publicly filed certain required disclosures under the federal securities laws. Given that the transaction involved a tender offer, the required disclosures included a Solicitation/Recommendation Statement on Schedule 14D-9 which articulated the Board’s reasons for recommending that stockholders accept the tender offer from an entity controlled by private equity firm Apollo Global Management LLC (“Apollo”) for $28.5 in cash per share. Apollo publicly filed a Schedule TO, which included its own narrative of the background to the transaction. The 14D-9 incorporated Apollo’s Schedule TO by reference. After reading these disclosures, as the tender offer was still pending, plaintiff-stockholder Elizabeth Morrison suspected the Company’s directors had breached their fiduciary duties in the course of the sale process, and she sought Company books and records pursuant to Section 220 of the Delaware General Corporation Law. The Company denied her request, and the tender offer closed as scheduled on April 21 with 68.2% of outstanding shares validly tendered. This case calls into question the integrity of a stockholder vote purported to qualify for “cleansing” pursuant to Corwin v. KKR Fin. Holdings LLC, 125 A.3d 304 (Del. 2015). In reversing the Court of Chancery's judgment in favor of the Company, the Delaware Supreme Court held "'partial and elliptical disclosures' cannot facilitate the protection of the business judgment rule under the Corwin doctrine." View "Morrison, et al. v. Berry, et al." on Justia Law

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Appellant Jamar Thompson challenged a Superior Court finding that he violated his probation. On appeal he argued: (1) his right to due process under Amendment XIV of the United States Constitution was violated because he was provided with an untimely and incomplete disclosure of the evidence against him, he was unavailable to testify, and a witness he intended to call was not permitted to testify; (2) the Superior Court violated his rights under Amendments IV and XIV of the United States Constitution and Article I section 6 of the Delaware Constitution by refusing to consider his argument, made at the hearing, that the evidence against him was the product of an unlawful search and seizure and should be suppressed; and (3) the evidence against him was insufficient to support a finding that he violated his probation. After considering Thompson’s claims, the Delaware Supreme Court found no reversible error and affirmed the Superior Court's judgment. View "Thompson v. Delaware" on Justia Law

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In March 2016, soon after The Fresh Market (the “Company”) announced plans to go private, the Company publicly filed certain required disclosures under the federal securities laws. Given that the transaction involved a tender offer, the required disclosures included a Solicitation/Recommendation Statement on Schedule 14D-9 (together with amendments, the “14D-9”), which articulated the Board’s reasons for recommending that stockholders accept the tender offer—from an entity controlled by private equity firm Apollo Global Management LLC (“Apollo”). The 14D-9 incorporated certain required schedules by reference. After reading these disclosures, as the tender offer was still pending, stockholder-plaintiff Elizabeth Morrison suspected the Company’s directors had breached their fiduciary duties in the course of the sale process, and she sought Company books and records pursuant to Section 220 of the Delaware General Corporation Law. The Company denied her request, and the tender offer closed as scheduled. Litigation over the Section 220 demand ensued, and Plaintiff obtained several key documents, such as board minutes and a crucial e-mail from Ray Berry’s counsel to the Company’s lawyers. Plaintiff then filed this action, including a breach of fiduciary duty claim against all ten of the Company’s directors, including Ray Berry, and a claim for aiding and abetting the breach against Ray Berry’s son, Brett Berry, who did not serve on the Board. The thrust of Plaintiff’s breach of fiduciary duty claim was that Ray and Brett Berry teamed up with Apollo to buy The Fresh Market at a discount by deceiving the Board and inducing the directors to put the Company up for sale through a process that “allowed the Berrys and Apollo to maintain an improper bidding advantage” and “predictably emerge[] as the sole bidder for Fresh Market” at a price below fair value. Plaintiff also alleged the Board and the stockholders were misled into believing that Ray Berry would openmindedly consider partnering with any private equity firm willing to outbid Apollo, but, instead, “[t]he reality of the situation was that Ray Berry (a) had already formed the belief that Apollo was uniquely well situated to buy Fresh Market; (b) had already entered into an undisclosed agreement with Apollo; and (c) was incentivized not to create price competition for Apollo.” In moving to dismiss, Defendants argued that Corwin v. KKR Fin. Holdings LLC, 125 A.3d 304, 312 (Del. 2015) applied. The Court of Chancery stated that this matter “presents an exemplary case of the utility of th[e] ratification doctrine, as set forth in Corwin and [In re Volcano Corp. S’holder Litig., 143 A.3d 727 (Del. Ch. 2016)].” The Delaware Supreme Court disagreed, finding defendants did not show under Corwin, that the vote was fully informed. Thus, “the business judgment rule is not invoked.” The Supreme Court reversed the Court of Chancery’s decision and remanded for further proceedings. View "Morrison, et al. v. Berry, et al." on Justia Law

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This was a “take-home” asbestos case in which an employee’s now-deceased wife sued the companies who supplied asbestos products to her husband’s employer. Her husband’s employer caused him to work with those products, and the asbestos in them came home on his clothes. The wife’s theory of recovery against the asbestos product manufacturers was under section 388 of the Restatement (Second) of Torts, an asbestos product manufacturer has a duty to warn foreseeable users of the dangers of its products, to the extent the asbestos product manufacturer has actual or constructive knowledge of that danger, and when it is unlikely that the user will discover the dangerous condition.2 The legal question underlying this appeal reduced to whether the spouse of an employee harmed by take-home asbestos exposure could sue an asbestos product manufacturer and recover if it failed to provide warnings and safe laundering instructions to her spouse’s employer, so he could protect himself or whoever laundered his clothes. "When applying section 388, the mundane realities of life make the spouses of employees who launder asbestos-covered clothes foreseeable plaintiffs to whom the manufacturers can be held liable. Taking into account, though, the argument that the asbestos product manufacturers are not in a position to warn employees directly, much less the other people who might launder employees’ clothes," the Delaware Supreme Court reversed the grant of summary judgment in favor of the defendant-manufacturers. "If, as the Manufacturers suggest, claims from plaintiffs with more momentary exposure to and tenuous relationship to an exposed employee are filed in the future, the answer is to address those cases then in a reasoned way that takes into account the practicalities that must inform our common law. But, the answer is not to ignore the equity due to the plaintiff before us, and the plaintiffs like her, who base their claims on a clearly foreseeable consequence of common, and necessary, human conduct: workers often have family members who launder their work clothes, and if those work clothes are covered in asbestos dust, those family members can suffer serious injury and even death." View "Ramsey v. Georgia Southern University Advanced Development Ctr" on Justia Law

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Jane D.W. Doe, the deceased plaintiff whose estate was the appellant, was validly arrested by a Delaware State Police Officer for shoplifting, and “was subject to an outstanding capias.” Doe alleged that, rather than properly processing her arrest, the Officer instead told her that if she performed oral sex on him, he would take her home and she could just turn herself in on the capias the next day. If she refused, he would “take her to court, where bail would be set, and . . . she would have to spend the weekend in jail.” The Officer originally denied that the oral sex occurred, but after DNA evidence of the oral sex was found on Doe’s jacket. The State charged the Officer with multiple crimes, including: (1) “intentionally compel[ling] or induc[ing] [Doe] to engage in sexual penetration/intercourse;” and (2) “solicit[ing] a personal benefit from [Doe] for having violated his duty” to bring her in on her capias. What was disputed in this appeal was whether the jury verdict finding that the State was not responsible in tort as the officer’s employer for this misconduct should have been affirmed. The Delaware Supreme Court agreed with Doe that the jury verdict should have been vacated, finding that the jury was improperly asked to decide whether the employer of a police officer who received oral sex from an arrestee for his own personal gratification, and with no purpose to serve his employer, was acting within the scope of his employment. This question was submitted to the jury because the Supreme Court found in its initial decision (“Doe I”) that the jury should have decided the issue. In a second decision (“Doe II”), the Supreme Court adhered to the law of the case and did not revisit that earlier ruling. In this decision, the Court admitted it erred in leaving this issue of law to the jury, and for leaving the superior court in "the impossible position of crafting sensible jury instructions to implement a mandate that was not well-thought-out." The Court held, as a matter of law, if a police officer makes a valid arrest and then uses that leverage to obtain sex from his arrestee, his misconduct need not fall within the scope of his employment under section 228 of the Restatement (Second) of Agency to trigger his employer’s liability. In so finding, the Supreme Court took into account the unique, coercive authority entrusted in police under Delaware law, and the reality that when an arrestee is under an officer’s authority, she cannot resist that authority without committing a crime. The Court vacated the jury verdict in this case and remanded for entry of a judgment in Doe's favor on the issue of liability, with a jury trial to follow on the issue of damages. View "Sherman v. Dept of Public Safety" on Justia Law

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Russell Grimes was accused of participating in a bank robbery. He was indicted for first-degree robbery, aggravated menacing, and other related charges. At trial, the jury convicted him of first-degree robbery, but acquitted him of aggravated menacing. He appealed, and based on an error that occurred during jury selection, the Delaware Supreme Court vacated his first-degree robbery conviction and remanded for a new trial. A jury again convicted him of first-degree robbery. The question this case presented for the Supreme Court's review: if a defendant is convicted by a jury of one offense, but acquitted - in the same verdict - of a lesser-included offense, and the conviction on the greater offense is vacated on appeal, does the acquittal on the lesser offense prevent the State, under the Double Jeopardy Clause, from retrying the defendant for the greater offense? The Court concluded it did not. View "Grimes v. Delaware" on Justia Law

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In this appeal, at issue before the Delaware Supreme Court was whether stipulated court orders agreed to in 2005 by a property owner and the Town of Cheswold prevented the Town from enacting new ordinances affecting the property. Applying res judicata, the Superior Court found that they did, and entered a judgment prohibiting the Town from enacting any ordinance impairing the property owner’s existing development rights. The Supreme Court reversed, holding that the 2005 stipulated orders did not prohibit the Town from enacting future ordinances affecting the property. "If the Town eventually adopts a new ordinance, any future litigation over the property owner’s vested rights should be resolved by applying the balancing test in In re 244.5 Acres of Land, 808 A.2d 753 (Del. 2002)." View "Town of Cheswold v. Central Delaware Business Park" on Justia Law

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Defendant-appellant, Terrance Everett accepted a Facebook friend request from a detective who was using a fictitious profile. The detective then used information gained from such monitoring to obtain a search warrant for Everett’s house, where officers discovered evidence that prosecutors subsequently used to convict him. Everett asked the trial court to determine whether the detective knowingly and intentionally, or with reckless disregard for the truth, omitted information from the affidavit- namely, information concerning the detective’s covert Facebook monitoring - that was material to the magistrate’s finding of probable cause. Everett argued that, if he made this showing by a preponderance of the evidence at such a hearing, then the evidence obtained via this warrant should have been suppressed. The Superior Court denied Everett’s motion. The Delaware Supreme Court affirmed the superior court's denial of Everett's motion, finding the Fourth Amendment does not protect a defendant who exposes incriminating evidence to an undercover police officer after he voluntarily "friended" the officer on Facebook. View "Everett v. Delaware" on Justia Law