• Johnson & Johnson Derivative Litigation: The firm was one of the co-lead counsel in the demand futility shareholder derivative litigation against directors and officers of Johnson & Johnson. The settlement of this action imposed substantial governance and compliance reforms on the company, including (1) the design and implementation of a comprehensive product risk management system at the company world-wide for the identification, timely resolution and escalation of manufacturing and product problems, with independent monitoring and reporting from the product team level up through quality channels to the Chief Quality Officer and the Board; (2) the adoption by the Board of a Quality and Compliance Core Objective imposing specific responsibilities upon the Board and management; (3) the requirement that adherence and compliance with the core objective must be considered in the evaluation and compensation of all Johnson & Johnson employees world-wide; and (4) the adoption of a charter and detailed operating procedure for the newly formed Regulatory, Compliance & Government Affairs Committee of the Board, imposing robust reporting and oversight responsibilities on the committee.
• Eli Lilly & Company Derivative Litigation: The firm was co-lead counsel of the Executive Committee in this derivative action against officers and directors of Eli Lilly. The settlement of this action provided for substantial corporate governance and compliance reforms at the company, including the requirement for the Company to adopt policies and procedures to support scientific excellence in the development and communication of product safety and effectiveness information and the medical and scientific risks and benefits throughout the life cycle of both products and product candidates at Eli Lilly.
• Schering-Plough Corporation Derivative Litigation: The firm was a principle counsel in this derivative action against the directors of Schering-Plough alleging breaches of duty in connection with the running of company production facilities and improper sales practices which operated as a fraud upon federal and state governmental authorities. Settlement of this action provided for substantial corporate governance and compliance reforms, particularly in the areas of global compliance, robust board reporting and risk management.
• TimeWarner, Inc. Derivative Litigation: The firm was co-lead counsel in this derivative action related to the combined Time Warner/America Online company’s alleged improper and/or illegal recording of millions of dollars of sham profits purportedly earned on multiple advertising agreements. Settlement of this action entailed, among other relief, substantial monetary and corporate governance benefits to the company. The Southern District of New York expressly found that the corporate governance and compliance changes “will not only help deter the type of misconduct underlying Plaintiffs’ claims, but may enhance investor confidence by ensuring that the Company maintains a healthy governance structure.” In re AOL Time Warner Shareholder Derivative Litig., 2006 U.S. Dist. LEXIS 63260 at *12 (S.D.N.Y. Sept. 6, 2006).