Karen price files the verified class action complaint against babcock & wilcox enterprises, inc

On may 28, 2019, a putative class action complaint was filed against the board of directors of babcock & wilcox enterprises, inc. in the court of chancery of the state of delaware. the complaint is captioned price v. avril, et al., c.a. no. 2019-0393-jrs (del. ch.). the complaint asserted, among other things, that members of the board breached their fiduciary duties by failing to disclose all material information necessary for a fully-informed vote on certain of the proposals presented for consideration at the 2019 annual meeting of the company's stockholders. the plaintiff also filed a motion to preliminarily enjoin the stockholder vote on the proposals unless and until all material information regarding the proposals was disclosed to the company’s stockholders. the plaintiff withdrew her motion to preliminarily enjoin the stockholder vote on the proposals following the company’s issuance of a supplemental proxy statement on june 6, 2019. the court granted the plaintiff's request to voluntarily dismiss this action with prejudice as to the named plaintiff only on july 31, 2019, and retained jurisdiction solely for the purpose of adjudicating an anticipated application for attorneys’ fees and expenses incurred by plaintiff's counsel. thereafter, following a period of negotiations, the company agreed to pay $400,000 in attorneys’ fees and expenses to plaintiff’s counsel in connection with the mooted disclosure claims asserted in the action without admitting any fault or wrongdoing. on october 16, 2019, the court entered an order closing the case, subject to the company filing an affidavit with the court confirming compliance with the court’s order. in entering the order, the court was not asked to review, and did not pass judgment on, the payment of the attorneys’ fees and expenses or their reasonableness.
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