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Proof of Fiduciary Duty Neglect Is Key in the Campbell Lawsuit.

Publication: Mergers & Acquisitions Journal
Publication Date: 01-NOV-02
Format: Online
Delivery: Immediate Online Access

Article Excerpt
A lawsuit challenging the 1998 spin-off of Vlasic Foods International Inc. by Campbell Soup Co. is giving the m&a legal community a chance to examine how much liability a parent should bear when its offspring goes belly up.

Vlasic was spun off by Campbell in March 1998. It filed for bankruptcy 34 months later in January 2002. The North American assets of Vlasic were bought out of Chapter 11 by Hicks, Muse, Tate & Furst in May 2001.

A creditors group, represented by the Houston-based law firm of Andrews...

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