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Court Of Chancery Dismisses Previously Dismissed Case

Laborers’ District Counsel Construction Industry Pension Fund v. Bensoussan, C.A. 11293-CB (June 14, 2016)

What happens when a derivative claim is filed outside of Delaware and then is dismissed by that other court?  Well even if the other complaint might have stood up in Delaware, the subsequently filed Delaware case will also be dismissed when the law of the state where the case was dismissed gives preclusive affect to such a dismissal.  This result again shows that Delaware is respectful of other jurisdictions and that Delaware litigation may be threatened by bad filings elsewhere.

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