Klein v. Broadhead (Florida Power & Light)
Berger Montague, as lead counsel, brought this derivative action on behalf of Florida Power & Light (“FPL”). It was resolved by payment to the corporation of $22.25 million, of which $9.75 million was paid by individual defendants and the remainder by insurers. The settlement also incorporated the company’s agreement to certain therapeutic relief in the corporate governance area.
The corporate governance improvements include, among others: enhanced power to non-management directors; limits on the tenure of certain Board members; limits on related party transactions Board members may enter into with FPL; and limits on the directorships of public companies that FPL directors may hold.