Judge wants to hear from Zuckerberg on shareholder suit fees
DOVER, Del. (AP) — A Delaware judge says he wants to hear from Facebook founder Mark Zuckerberg before ruling on attorney fees in a shareholder suit challenging a proposed stock reclassification.
On the eve of Zuckerberg’s scheduled testimony last year, Facebook withdrew the proposal, which would have let him keep control of the social media company even while selling shares to fund his philanthropy.
Shareholder attorneys who argued that the move would give an unfair economic advantage to Zuckerberg are now seeking $129 million in legal fees, an amount Facebook considers excessive.
The judge Thursday called on Zuckerberg to appear later this year to testify about his philanthropic plans and why the reclassification proposal was withdrawn. That information would be used by the judge in considering the reasonableness of the fee request.