Delaware Court of Chancery Orders Specific Performance and Extends Earnout Period 258 Days After Buyer’s Pretextual Takeover

In Fortis Advisors LLC v. Krafton, Inc., C.A. No. 2025-0805-LWW (Del. Ch. Mar. 16, 2026), the Delaware Court of Chancery found that a buyer’s termination of three contractually designated “Key Employees” was pretextual—part of a takeover campaign that the buyer’s CEO devised with the help of an artificial intelligence (AI) chatbot,... By: Bass, Berry & Sims PLC