Bloomberg Law covered our case, Carlyle v. Akorn, Inc.
Counsel for Akorn Inc. investors must return $332,500 in attorneys’ fees for filing frivolous lawsuits against the now-defunct drugmaker seeking pre-merger disclosures, a federal court ruled.
Judge Thomas M. Durkin said he would also consider requiring the lawyers to cite the finding in future merger-related demand letters and suits, to disclose their retainer agreements, and to disclose so-called mootness fees in similar suits. Durkin, of the US District Court for the Northern District of Illinois, issued the order Monday.
Ted Frank, an attorney and frequent class action objector, sought to intervene in the six largely resolved proposed suits—five of them class actions—that had sought additional disclosures in Akorn’s proxy documents for its proposed merger with Fresenius Kabi AG. The merger fell apart before Akorn’s 2023 bankruptcy. Frank said the attorneys’ fees extracted from Akorn unjustly enriched the investors’ counsel because their claims were frivolous.
Read more at Bloomberg Law.