On June 17, 2016, the Austin Court of Appeals unanimously ruled in favor of the clients, vacating a class certification order.
The case, Brigham Exploration Co. et al. v. Boytim et al., involves Statoil’s 2011 acquisition of Brigham Exploration Company. Immediately following the announcement of the acquisition, a group of Brigham shareholders filed a purported class action, alleging claims for breach of fiduciary duty against Brigham’s board of directors and aiding and abetting that breach against Statoil, Fargo, and Brigham.
The appellate court vacated the class certification on the ground that the class was not sufficiently defined because it included numerous shareholders who lacked standing. The case has been remanded for further proceedings in the trial court.