M
ME NEWS
14 Apr 2025, 05:43
Alignment Healthcare Resolves Shareholder Litigation with $950,000 Fee Settlement
ORANGE, Calif. — Alignment Healthcare, Inc. (NASDAQ: ALHC) announced that the Delaware Court of Chancery has officially closed the shareholder litigation case Maglione v. Konowiecki, et al. following the company’s agreement to pay $950,000 in attorneys’ fees and expenses to the plaintiff’s counsel. The court’s closure order, dated April 9, 2025, concludes the matter, which originated from claims surrounding the company’s stockholders agreement.
The lawsuit, filed in 2023, became moot after Alignment entered into an amended and restated stockholders agreement with funds managed by General Atlantic and Warburg Pincus LLC on April 30, 2024. The updated agreement resolved the plaintiff’s concerns, prompting the court to dismiss the case in May 2024 while retaining jurisdiction to address the plaintiff’s counsel’s request for legal fees.
The $950,000 fee settlement was reached without any admission of wrongdoing or liability by Alignment Healthcare. The Court of Chancery did not assess the reasonableness or merits of the fee payment in its final order, which closes the case contingent upon the company confirming this notice of resolution.
The company has now fulfilled all related obligations and filed the required affidavit with the court to finalize the matter.
ORANGE, Calif. — Alignment Healthcare, Inc. (NASDAQ: ALHC) announced that the Delaware Court of Chancery has officially closed the shareholder litigation case Maglione v. Konowiecki, et al. following the company’s agreement to pay $950,000 in attorneys’ fees and expenses to the plaintiff’s counsel. The court’s closure order, dated April 9, 2025, concludes the matter, which originated from claims surrounding the company’s stockholders agreement.
The lawsuit, filed in 2023, became moot after Alignment entered into an amended and restated stockholders agreement with funds managed by General Atlantic and Warburg Pincus LLC on April 30, 2024. The updated agreement resolved the plaintiff’s concerns, prompting the court to dismiss the case in May 2024 while retaining jurisdiction to address the plaintiff’s counsel’s request for legal fees.
The $950,000 fee settlement was reached without any admission of wrongdoing or liability by Alignment Healthcare. The Court of Chancery did not assess the reasonableness or merits of the fee payment in its final order, which closes the case contingent upon the company confirming this notice of resolution.
The company has now fulfilled all related obligations and filed the required affidavit with the court to finalize the matter.
