Question
Shareholders of Clovis Oncology Inc. brought a shareholder derivative suit alleging that the board of directors ignored red flags in the testing of a lung
Shareholders of Clovis Oncology Inc. brought a shareholder derivative suit alleging that the board of directors ignored red flags in the testing of a lung cancer treatment called Rocilentinib. The clinical trials for Rocilentinib failed to follow standard protocol, which would prevent the drug from gaining FDA approval. The company allegedly made public statements about the success of trials that were inconsistent with the information the board received. When Clovis withdrew the drug from FDA consideration in 2016, the stock price plummeted. Will a court allow the shareholder derivative suit to go forward? [In re: Clovis Oncology, Inc. Derivative Litigation, C.A. No. 2017-0222-JRS (Del. Ch.)]
different wording since other classmates may potential do the same.
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