Stoke Therapeutics Beats Shareholder Challenge to Board Bylaw

Stoke Therapeutics Inc. prevailed in litigation targeting its board nomination bylaw, adding momentum to recent court rulings that upheld similar advance-notice provisions against challenges from shareholders.

• A judge threw out a proposed class action against the biotech Monday, saying a landmark Delaware Supreme Court decision last year stood for the straightforward rule that a nomination bylaw “must be upheld if it can lawfully operate in any circumstance”
• Without a proxy fight in progress or on the horizon, the Stoke provisions “adopted on a clear day” fall short of that high bar despite “suboptimal” language, Vice Chancellor Lori W. Will said ...